What is SAP Landscape?

By: Kunal Landscape is like a server system or like a layout of the servers or some may even call it the architecture of the server viz. SAP is divided into three different landscapes DEV, QAS and PROD.
y DEV would have multiple clients for ex: 190- Sandbox, 100- Golden, and 180Unit Test. y QAS may again have multiple clients for ex: 300- Integration Test, 700 to 710 Training. y PROD may have something like a 200 Production.

These names and numbers are the implementer's discreet on how they want it or they have been using in their previous implementations or how is the client's business scenario. Now whatever you do in the Sandbox doesn't affect the other servers or clients. Whenever you think you are satisfied with your configuration and you think you can use it moving forward, you RE-DO it in the golden client (remember, this is a very neat and clean client and you cannot use it for rough usage). As you re-do everything that you had thought was important and usable, you get a transport request pop up upon saving every time. You save it under a transport request and give your description to it. Thus the configuration is transported to the Unit Test client (180 in this example). You don't run any transaction or even use the SAP Easy Access screen on the 100 (golden) client. This is a configuration only client. Now upon a successful transport by the Basis guy, you have all the configuration in the Testing client, just as it is in the Golden client. The configuration remains in sync between these two clients. But in the Testing client you cannot even access SPRO (Display IMG) screen. It's a transaction only client where you perform the unit test. Upon a satisfactory unit test, you move the good configuration to the next SERVER (DEV). The incorrect or unsatisfactory configuration is corrected in Golden (may again as well be practiced in the sandbox prior to Golden) and accordingly transported back to 180 (Unit Test) until the unit test affected by that particular configuration is satisfactory. The Golden client remains the 'database' (if you want to call it that) or you may rather call it the 'ultimate' reference client for all the good, complete and final configuration that is being used in the implementation.

In summary: Landscape: is the arrangement for the servers IDES : is purely for education purpose and is NOT INCLUDED in the landscape. DEVELOPMENT ---> QUALITY ----> PRODUCTION DEVELOPMENT: is where the consultants do the customization as per the company's requirement. QUALITY: is where the core team members and other members test the customization. PRODUCTION: is where the live data of the company is recorded. A request will flow from Dev->Qual->Prod and not backwards. 1. Sandbox server: In the initial stages of any implementation project, you are given a sandbox server where you do all the configuration/customization as per the company¶s business process. 2. Development Server: - Once the BBP gets signed off, the configuration is done is development server and saved in workbench requests, to be transported to Production server. 3. Production Server: This is the last/ most refined client where the user will work after project GO LIVE. Any changes/ new development is done is development client and the request is transported to production. These three are landscape of any Company. They organized their office in these three ways. Developer develops their program in Development server and then transports it to test server. In testing server tester check/test the program and then transport it to Production Server. Later it will deploy to client from production server.
y Presentation Server- Where SAP GUI has. y Application Server - Where SAP Installed. y Database Server - Where Database installed.

What is the meaning of "R" in R/3 systems? R/3 stands for real-time three tier architecture. This is the kind of architecture SAP R/3 system has. R/3 means three layers are installed in Different system/server and they are connected with each other. 1) Presentation 2) Application 3) Database Why do we call client 000 as golden client? Golden client contains all the configuration data and master data so some extent. All the configuration settings are done in golden clients and then moved to other clients. Hence this client acts as a master record for all transaction settings, hence the name "Golden Client". Successfully Implementing SAP Implementing a package can be a traumatic affair for both the customer and the vendor. Get it wrong and the vendor may get paid late or have to resort to lawyers to get paid and tarnish their reputation. For the company the new package may not work the way they expected, be late or cost a more than budgeted for and take management will take their eye off running their business. Recently a client asked me what I would consider to be the five most important things one should consider before embarking on an implementation. This isn't a simple question, although there are many factors to think about after some consideration for me the top five are way ahead of the others. My top five factors to consider would be: 1. Set up 2. Secure 3. Complete 4. Have detailed 5. Train the users. Taking each one in turn: a the the Cut GAP Over Project Board, resources, Analysis, Plans,

The Project Board The correct set up and operation of the Project Board in my view is major factor in the success failure of the project. The Project Board will consist of the stakeholders, key users and the vendor. The Project Board is part of the governance of the project. The Project Board will meet regularly to ensure that the project plans are created and being executed as planned, moves from stage to stage with all the deliverables being signed off is resourced properly. The Resources Three types of resources are absolutely necessary -- end users, change team and technicians. Early involvement by the end users is absolutely necessary, as they will be the ones living with the system for hopefully many years to come. They will want to feel involved in its implementation. Buy in from the end users of the system is absolutely essential if the system is to have a long and stable life in any organisation. The Change Team will identify the gaps between the package and the business requirements, re-engineer some of the businesses process to cope with the package, train the users to ensure implementations is smooth as possible into the business. The Technical Team will prepare the systems environment for the package, apply any software fixes from the vendor, implement the software in the best way possible for the organisation set up and tune the software for the particular technical environment. GAP Analysis A through gap analysis will identify the gaps between how the business operates ad its needs against what the package can can't do. For each gap there will be one of three outcomes which must be recorded and actioned, GAP must be closed and customised software can be developed close the gap, GAP must be closed but software cannot be written therefore a workaround is required, GAP does not need to be closed. In simple terms: Gap means small cracks. In SAP world. In information technology, gap analysis is the study of the differences between two different information systems or applications( ex; existing system or legacy system with Client and new is SAP), often for the purpose of determining how to get from one state to a new state. A gap is sometimes spoken of as "the space between where we are and where we want to be." Gap analysis is undertaken as a means of bridging that space. Actual gap analysis is time consuming and it plays vital role in blue print stage. Cut Over Plans Detailed plans need to be developed for cutting over from the old system(s) to the

new. Parallel runs of what will happen over the conversion period using test data, convert and watch for a period after wards to ensure nothing unexpected happens. Train Users Well trained users will support and defend the system on site. Unsupportive users will continually undermine the system and eventually it will be replaced. Therefore the more effort you put into helping the users master the system early the better. SAP FI/CO Certification Sample Questions Caution: more than one Please mark ALL correct answers. answer may be correct.

Question: Which of the following statements are correct? A More than one chart of accounts can be created for each client B The chart of accounts contains all the G/L accounts, vendor accounts and customer accounts C More than one company code can be allocated to the same chart of accounts D The chart of accounts controls all the customizing settings in the R/3 system E All accounts within a chart of accounts must have the same tax code Answer : A Question: What status reports does Cash Management and forecasting include? A. B. C. D. E. Bill holdings Cash Liquidity Credit G/L limit account management position forecast report balances

Question: When creating an Overhead Cost Order, the first order information which must be entered is: A. B. C. D. E. Classification code Order Order Settlement status type type Curreny

Question: When creating an Overhead Cost Order, the settlement rule must be entered in the control data. Which settlement receivers are available for internal orders? A. B. C. D. E. Vendor Cost General ledger center Orders accounts Asset

Question: In Controlling, a distinction is made between master data, planning, actual data and the information system. Which of the following master data belongs to Controlling? A. B. C. D. E. Supplier G/L Work Cost Activity account center center type

Question: Period closing activities are also performed in Controlling. This is dependent on certain prerequisites. Which of the following are MINIMUM criteria before it makes sense to carry out period closing? A. The posting B. Materials C. Personnel D. Overhead E. An order was closed. period have costs has has been have been been been closed. withdrawn. incurred. incurred.

SAP FI Tips For Passing Certification I passed my SAP FI certification ECC 6.0. I want to thank each one of them in the group for their support. People who are going to attend the certification exam kindly concentrate on the TFIN50 and TFIN52 Tips for people who are going to attend the exam:
y y y y y y

Understand the concepts. Don't memorize. If possible kindly practice the configuration part (Not mandatory). Do the preparation based on the syllabus not based on books. {You will be getting 99% from the syllabus} You have to cover all the chapters. No straight Questions. You will be getting chapter wise questions like AA, Masters, APP, NEW GL and so on..............

³But one thing I can say if you are through with syllabus 'YOU' can easily pass´. Take the certification date only once you finish one round of study of all books. Two types of Questions:
y

Single answer questions {SAQ will be around 10 - 15 questions and remaining will be True/False}

y

A statement will be given. Based on that 4 to 6 options. You have to select each option is True or False.

SAP FI Tips For Passing Certification What is APC? APC stands for Acquisition and Production costs. Acquisition means any asset which you may acquire/ purchase externally. It includes invoice price and other related exp. Associated with it like customs, octroi, freight which you add and arrive at total cost of acquisition for capitalization of the asset. For ex Say a computer. The total cost

which you incur for the acquisition of the computer including installation will be your APC Production cost means any asset which is created internally within the organization. This is normally created by means of AUC and you go on adding cost to the AUC as and when you incur exp. for the same. For ex. say addition to the office building. Therefore APC incudes any external acquisition or internal construction of exp. which needs to be capitalised. In OADB under 01 deprn area Acquisition & prod Cost tick is activated. Marazban D. Dalal *--

This is empathy, I have interview tomorrow, if anybody have taken interview with any company, kindly let me know what the questions they will be asking, how will be the interview. How the questions will be on configuration, implementation side and other questions plz.. share with me. Pl. prepares you on the following broad lines: Implementation exp.: Brief about the project you did: w.r.t. the main activity of the client, How many plants they had, What modules were implemented, Who were the implementers, What¶s the implementation team size, How many were in your module team, What¶s your role in the project with respect to the activities you partook in the project, The Enterprise Structure with regard to the no. of Company Codes, any Business Areas or Profit Centers defined, Cost Centers defined, What¶s the period of the project, When did they Go-Live?, Any issues you¶d solved during µSupport¶ phase? Questions on conceptual understanding: a) SAP R/3 definition and 3-Tier Architecture b) µReal time integration¶ advantage of SAP c) ASAP methodology d) Solution Manager e) Client / Company / Company Code / Business Area f) Business Area vs Profit Center Approach g) How effective will be the Financial Statements generated through Business Areas h) With Holding Taxes vs Extended WHT i) Field Status Concepts (G/L master fields controlled through Account Group and Document entry through Field Status Group set in the G/L master)

Bus area 1 Bus area2 Bus Area3 Bus Area 4 2. How many Normal and Special periods will be there in fiscal year, why do u use special periods? Ans: 12 Normal posting period and 4 special periods are in the fiscal year which can be used for posting tax and audit adjustments to a closed fiscal year. 3.Where do you open and close periods? Ans: PPV is used to open and close the periods based on a/c types considering GL Accounts. Tr. Code. OB52. 4.What do Ans: Name City Country Currency Language Address you 4 enter of in digit Company code Global Alphanumeric the settings? key. company

5.What is document type, and what does it control? Examples. Ans: Document type is nothing vouchers containing line items. Several business transac! tions can be identified within a particular document type. It controls the document number ranges. It controls the Header part of document IT controls the line item level of the document Helps filing of physical document 6. What is posting key and what does it control? Ans: These are special classification keys. Two character numerical key it controls the entry of line items. Posting key determines Account type, Debit/credit posting, Field status of transaction. 7. What is field status group, what does it control? Ans: FSG is mandatory field in ! GL Creation. You use this field to define which fields are displayed when you post business transactions to a G/L account. A field may have one of the following statuses. Suppressed Display

- Required

Optional

8. What is chart of account and how many charts of accounts can be assigned to a company? Ans: Chart of account is a list of all G/L accounts used by one or several company codes. For each G/L account, the chart of accounts contains the account number, account name, and the information that controls how an account functions and how a G/L account is created in a Company code. You have to assign a chart of accounts to each company code. This chart of accounts is the Operating chart of accounts and is used for the daily postings in this company code. You have the following options when using multiple You can use the same chart of accounts for all company codes company codes.

If the company codes all have the same requirements for the chart of accounts set up, assign all of the individual company codes to the same chart of accounts. This could be the case if all company codes are in the same country. In addition to the operating chart of accounts, you can use two additional charts of accounts If the individual company codes need different charts of accounts, you can assign up to two charts of accounts in addition to the operating chart of accounts. This could be the case if company codes lie in multiple countries. The use of different charts of accounts has no effect on the balance sheet and profit and loss statement. When creating the balance sheet or the profit and loss statement, you can choose whether to balance the co! mpany codes which use different charts of accounts together or separately. 9. What does definition of a chart of account contains? Ans: chart of account key Name Maintenance language Length of the GL Account Number Controlling Integration Group chart of accounts (Consolidation) Block Indicator

10. Can one COA be assigned to Ans: yes. One COA can be assigned to several companies.

several

companies?

11) What is account group and what does it control? Ans: Account group determines which fields you can configure on the G/L master record. It is necessary to have at least two one for B/S and another one for P&L a/c. It controls the Number ranges of GL A/C. The status of fields of the master record of GL belongs to company code area. 12) What is reconciliation account; can you directly enter documents in that a/c? Ans: When you p! ost items to a subsidiary ledger, the system automatically posts the same data to the general ledger. Each subsidiary ledger has one or more reconciliation accounts in the general ledger. We can¶t use reconciliation account for direct postings. 13) How do you control field status of GL master records and from where do you control! Ans: Field status variant is maintained all FSGs. 14) What Ans: A/C Nature Short GL Trading Group Account Tax Reconciliation OIM,LID,FSG. are the segments COA of a/c Account Company a/c for code a/c long of GL master record? Segment group account text text partner Number segment currency type

15) What does Field status group assigned to a GL master record controls? Ans: It controls the account assignments that are made to the account. Specifically the field status group controls whether postings to cost centers, internal orders, profitability segments and so on are required, not allowed (suppressed), or optional. 16) What is Country and operational chart of account? Why do you use group chart of account? Ans: Operational chart of account ± Day to day activities It is mandatory.

Country COA ± It¶s used for legal specific requirement of each country. It¶s additional and optional. Group COA used for consolidation of Company codes. This is for group consolidation purpose. 17) What are all the segments in a Customer/Vendor master record? Ans: Segments in Customer Segments in Vendor General Data segment General data segment Company code segment Company code segment Sales area segment Purchasing organization Segment 18) What is open line item management? What do you mean by clearing open line items? Ans: Open item management is further reconciliation function. OIM allows you to display the open and cleared items and amounts in an account. OIM should be used if an offsetting entry is made for every line item posted in the account. The a/c is reconciled and cleared against another account. Ex. Salary clearing account and GR/IR Clearing account. 19) What is residual payment and part payment? Ans: Residual payment it clears original invoice with incoming amount and create new line item for remaining outstanding amount. Partial payment it leaves the original invoice amount and creates new line item for incoming amount. 20) What is internal and external number ranges? Ans: Internal Number Ranges: Doc. No will be provided by the system automatically in serial order allotting the next available progressive number. The number must be in numerical. External Number ranges: Doc. No will be given manually by the end user. System will not lock no automatically in this case. User can pick the number randomly. *-- Shaannthi S. Number may be an alpha numeric. SAF FI Technical Interview Questions 2 Questions are answer best of my knowledge, if I am wrong, please correct me..anyone«««« 1. How can be or in what way baseline date is important in Automatic Payment Program run?

The Baseline date is used to calculate the due date by taking into account the payment terms. On the APP, the baseline date helps to pick the relevant invoices for payment. During the APP run when invoices are pulled into the run, the system checks the µNext Payment Date¶ before picking the invoices to be paid. 2. Please tell me the procurement cycle how it works? Procurement cycle ± a sales order is placed on a requirement made by a customer, after which it is passed on to create a purchase order (this could either happen based on the requirements on the SO, or a planned SO). the value flow gets passed on to FI at the time of goods movement. In the case of SD, the impact on FI happens only at the time of billing. 3. Difference between Depreciation ,Accumulated Depreciation and APC? What is APC? Depreciation ± a decrease in the value of an asset due to wear and tear Accumulated Depreciation ± the total amount of depreciation calculated on a particular asset. APC ± refers to Asset transactions other than depreciation 4. What is GR/IR?What journal entries we should pass for this? The GR/IR ± the goods receipt/Invoice Receipt account is used to post to whenever goods that are not yet invoiced have been received or when invoices arrive b4 the the delivery of goods. During the time between the invoice being created and delivery of goods, there can be a timing difference, in order to accommodate this timing difference, a GR/IR account is maintained temporarily to record the flow . 5. What are the accounting entries take place in MM and SD? Value from MM to FI is defined in OBYC«. on the material master the flow of values are assigned on the Costing, acctg, etc tabs where the system helps to post the necessary stock values into the appropriate GL accounts. helps to determine, the GL accounts updated when there is a movement of goods. SD-FI - VKOA

6. Can we assign one Controlling area to two different Company Codes (but the company codes having different fiscal years/different currencies Company code should have same financial year, may have different currencies. You can assign 2 or more company codes to one controlling area as long as the chart of accounts are same. Furthermore, if you have different fiscal year variant in the company code, then make sure that the number of period remain the same. 7. While posting transaction, can we give cost centre / production order at time. Yes it is posiiable , but in such situation cost centre will be real and production order is stastical. If you assign both cost center and Prd Order then since Prod. Order are real co object, Cost center entry would be statistical. 8. Which Master data uploads will be done? The question is not very clear. If you are talking about CO Master data. Then Cost center need to be uploaded. You can use Data Transfer Workbench or write abap for it. 9. Can we run Payment Programe giving ( Hdfc vendor detailes ) City bank in Payment run programe? Yes can be possible , this can resolved through ranking order and bank optimization in FBZP. You use use further selection in proposal paramater, if you would like to filter the open item based on the city 10. What does document header control? Field status. 11. After entering a document can you delete the entry? Can you change the document? Which fields¶ can/not is changed? Document header cannont be changed, after posting the document you cannot change. only if you want to change the document the reseversal entry.

12. What is a special GL transaction? The transaction other than A/P and A/R is called the special g/l transaction for ex: Bills of exchange, Interest payable , aqusition 13. How do you reverse cleared documents? By doing reversal posting. 14. What is base line date? Why is that used? Can this be changed? For paymentterms it is used. base line date is the due date. 15. How many statistical objects can be selected in when you post an FI document? Where CCtr, PCtr, OM are active? SAP FICO Interview Questions What are the frequently asked questions on SAP FICO Interview Questions? 1. What is chart of account? What is the relevance of defining chart of account? A. It is the top level financial structure, contains the GL Accounts we define the all the accounts and one chart of accounts assign to company code and one chart of accounts will assign to many company codes . It is list of Gl accounts and it contains account no , account name, language, length, cost element, blocking information that controls the how an account functions and how a gl account created in company code . COA Key. 2. What is account group? What does it control? A. IT determines the which fields you need to configure on the GL master record. It is necessary to have at least 2, one for B/S and another one for P&L accounts. It controls the number ranges of GL. The Status fields of the master record of GL Belong to company code area. 3. What is posting key? What is its role? A. It controls the line item of GL entry debit and credit. 4. What is business area?

A. Organizational unit of external accounting that corresponds to a specific business segment or area of responsibility in a company. Financial statements can be created for business areas for internal purposes. They are primarily used to facilitate external segment reporting across company codes covering the main operation of a company (product line, Branches). The Business area may be the branch of the company or product lines it deals with 5. while defining chart of account, there is field " manual creaation of cost element" and "automatic creation of cost element". what is it? A. Generally when ever we are creating cost elements we can create some of exependitures manually some automatically so we can create manually cost elements in defining chart of accounts. 6. After creating a customer/vendor, how can we check that under which account group we have configured this customer/vendor? A. We can check through customer group and vendor group it was created by ours when we are creating vendor and customer groups. 7. How the system will know that april is your first posting period? A. Yes the system will find out april was first posting period. While configuring fiscal year we giving april to 1 may to 2, june to 3, like this system will identify april was the first posting period. 8. Define the term "fiscal year" , "posting period varient" & " field status varient". A. FSGV controls the additional account assignments and other fields that can be posted at the line item level for GL a/c. FSGV can be control at three level i.e., 1) In OBC4 (ch of a/c¶s) - which controls the screen for a particular GL a/c group, 2) Posting Keys - which controls the screen for a particular posting key transaction is taken, & 3) Accounting Groups - which controls the screen for a particular account group i.e., customer group or vendor group. A. Posting period variant which controls posting periods, both normal and special periods are open for each company code. The posting period is independent of fiscal year variant.

A. Fiscal year is controls the which type year we are following like calendar year, year dependent year,. SAP FI/CO Sample Questions and Answers 1 1. About evolution in the world of business, we can affirmate that (Please choose the correct sentence): a) [ ] The internet revolution could turn available to companies the use of ERP functionality. b) [ ] The next generation of Â³new dimensionÂ´ products appeared taking functionality out of the company, to bring value through extending the Internet Revolution. c) [ ] The internet has driven to a collaborative environment where value is created through collaboration within business comunities. d) [ ] In the first the companies were looking at Cost reduction and efficiency through integration of business comunities. 2. About the definition of ERP and e-business functionalities, we can say that (Note: we can have more than one correct sentence. Please select the sentences you think they are correct): a) [ ] ERP offers enterprise centric functionality (general ledger, payroll, order entry) to integrate core, internal processes. b) [ ] ERP is mySAP Financials and mySAP HR. c) [ ] ERP is SAP R/3, while e-business is mySAP.com. d) [ ] About Business Model, ERP can be considered as enterprise centric and ebusiness, as extended and collaborative. e) [ ] About Architecture, ERP can be considered as an integrated system and ebusiness, as an integrated system and an open integration platform. f) [ ] About Processes, ERP can have them integrated, core within enterprises and collaborative, beyond company boundaries. 3. What is a SAP Business Object (Please choose the correct sentence)? a) [ ] It is all the transaction data generated via transactions. b) [ ] It is the instancied class of the Class Builder. c) [ ] It is composed of tables that are related in a business context, including the related appplication programs and it is maintained in the Class Repository. d) [ ] It is the representation of a central business object in the real world, such as an employee, sales order, purchase requisition, invoice and so on.

e) [ ] It is a sequence of dialog steps that are consistent in a business context and that belong together logically. 4. About BAPI (Business Application Programming Interface), what is true (Note: we can have more than one correct sentence. Please select the sentences you think they are correct)? a) [ ] It is a well-defined interface providing access to processes and data of business application systems. b) [ ] BAPIs offer a stable, standardized interface for integrating third-party applications and components in the Business Framework. c) [ ] A BAPI is assigned to one and only one business object. d) [ ] In the R/3 Enterprise version (4.7) we can use BAPI to create an internal order inside a customized ABAP program. e) [ ] A business object in the Business Object Repository (BOR) can have many methods from which one or several are implemented as BAPIs. 5. What can we say about ALE (Application Link Enabling, Note: we can have more than one correct sentence. Please select the sentences you think they are correct)? a) [ ] Business processes cannot be distributed using ALE. b) [ ] The ALE concept is related to an enterprise structure with areas that have central tasks and areas with tasks that are decentralized. c) [ ] The applications are integrated via a central database. d) [ ] The applications are integrated via the message exchange. e) [ ] The ALE concept supports the implementation and operation of distributed SAP applications. 6. A company code is: a) [ ] an independent accounting entity (the smallest organization element for which a complete self-contained set of accounts can be drawn up). b) [ ] an organizational unit in an enterprise that represents a closed system used for cost accounting purposes. c) [ ] an organizational unit that provides an additional evaluation level for the purpose of segment reporting, for example. d) [ ] a dependent accounting entity, according to Fiscal Year. e) [ ] the highest level in the R/3 system hierarchy. 7. Consider the following sentences:

7.1. The variant principle is a three-step method used in R/3 to assign special properties to one or more R/3 objects. 7.2. One of the disadvantages to use variants is that it can't deal with the maintenance of properties, which are common among several business objects. 7.3. For using the variant principle, you must define the variant, populate it with values and assign it to the R/3 objects. 7.4. This principle is used for Fiscal Years, Posting Periods and so on. Which a) b) c) d) e) [ ] 7.3. of [ [ [ [ ] ] them 7.1 7.1 ] ] is and and false? 7.2. 7.3. 7.1. 7.2.

8. Consider the following sentences: 8.1. A fiscal year has to be defined by means of separating business transactions into different periods. 8.2. Special periods are used for postings, which are related to the process of the yearend closing. In total, 16 special periods can be used. 8.3. The Fiscal Year variant only defines the amount of periods and their start and finish dates. 8.4. The Fiscal Year is defined as a variant, which is assigned to the chart of accounts. Which of them are true? a) [ b) [ c) [ d) [ e) [ ] 8.3 and 8.4. ] ] ] ] 8.1 8.1 8.2 8.2 and and and and 8.2. 8.3. 8.3. 8.4.

9. What is an independent fiscal year variant (Please choose the correct sentence)? a) [ ] It is a variant which the postings periods are only equal to the months of the year. b) [ ] It is a variant which you can define different number of periods, according to the year. c) [ ] It is a variant which each own fiscal year uses the same number of periods, and the postings periods always start and end at the same day of the year.

d) [ ] It is a variant which allows the use of different number of posting periods. e) [ ] It is a variant not normally used because of its particularity. 10. Consider the following statements about currencies concepts: 10.1. The currency code identifies each currrency that will be used into R/3 system. 10.2. You have to define all the worldÂ¶s currency into R/3 system 10.3. Exchange rate types distinguishes the exchange rates to be considered for various purposes, such as valuation, translation, conversion, planning, etc. Which of them is true (Note: we can have more than one correct sentence. Please select the sentences you think they are correct)? a) b) c) d) [ e) [ ] all of them. [ [ [ ] none ] ] ] of 10.1. 10.2. 10.3. them.

11. Consider the following sentences: 11.1. A base currency can be assigned to an exchange rate type. 11.2. To deal with exchange rate spreads, two very efficient combinations of the exchange rate tools are using a base currency for the average rate (M) and using the exchange rate spreads to calculate the buying and selling rates (B and G). 11.3. A base currency can be used for an average, a buying or a selling rate. 11.4. The relations between currencies have to be maintained per exchange rate type and currency pair in the translation factors. Which of these combinations is true? a) [ ] b) [ ] c) [ ] d) [ ] e) [ ] 11.1, 11.2, 11.3 and 11.4. 11.1, 11.1, 11.2, 11.1, 11.3 11.2 11.3 11.2 and and and and 11.4. 11.4. 11.4. 11.3.

12. Consider the following sentences about the direct quotation: 12.1. It is also known as price notation. 12.2. The currency value is expressed in units of the foreign currency per unit of local

13. Consider the following sentences about the indirect quotation: 13.1. It is also known as volume notation. 13.2. The currency value is expressed in the local currency per unit of foreign currency. 13.3. For indirect quotation, there is no prefix to difference between direct quotation. What is the correct option? a) b) c) d) e) [ ] 12.1. [ [ [ [ ] ] all none ] ] of of them. them. 12.3. 12.2.

14. What of these alternatives are considered master data (Note: we can have more than one correct sentence. Please select the sentences you think they are correct)? a) b) c) d) e) [ ] Asset. [ [ [ [ ] ] ] ] Chart G/L of Accounts. Accounts. Vendor. Customer.

15. What can we define into the chart of accounts customizing transaction (OB13 transaction, Note: we can have more than one correct sentence. Please select the sentences you think they are correct)? a) b) c) [ [ [ ] ] Length of ] Description. Maintenance language. the company code.

d) [ ] Length of the e) [ ] Blocking / unblocking chart of accounts.

G/L

account

number.

16. Consider the following sentences about the chart of accounts segment: 16.1. It contains the Company Code, Account number and the field status group. 16.2. Whenever you need to enter information for a company code for an account number, you have to type again the information related to chart of accounts segment. 16.3. Texts can be displayed using the program Â³Account assignment manualÂ´(RFSKTH00). 16.4. Key words facilitate the search for account numbers. Which of these combinations are false (Note: we can have more than one correct sentence. Please select the sentences you think they are correct)? a) b) c) d) e) [ ] none of them. 17. True or false? 17.1. Every company code that needs to use an account from the assigned chart of accounts has to create its own company code segment. a) [ ] True b) [ ] False 17.2. For P+L statement accounts, the balance is carried forward to the same account. a) [ ] True b) [ ] False 17.3. In the chart of accounts segment, it is necessary to indicate whether the account will be a balance sheet or a profit+loss statement account. a) [ ] True b) [ ] False 17.4. Number intervals a) [ ] True b) [ ] False for G/L account master records can overlap. [ [ [ [ ] ] ] ] 16.1. 16.2. 16.3. 16.4.

17.5. It is not possible to influence the appearance of an account¶s master data. a) [ ] True b) [ ] False 18. Consider the following sentences about field status:

18.1. Fields which are _____________ can be ____________. 18.2. Fields which have an entry that ________________ can be set to _________ only (even in change mode). Which of the options below matches the blank spaces of those sentences? a) [ ] used/supressed for 18.1; must be changed/display for b) [ ] not used/supressed for 18.1; must be changed/display for c) [ ] not used/optional for 18.1; should not be changed/supressed for d) [ ] not used/supressed for 18.1; should not be changed /display for e) [ ] used/optional for 18.1; must be changed/display for 18.2. 19. Consider the following sentences about field status: 19.1. Fields which _____________ can be made ____________. 19.2. Fields that can be entered, but are not required, can be set to _________ entry. Which of the options below matches the blank spaces of those sentences? a) b) c) d) e) [ [ ] must not have an entry/optional for 19.1; suppresed [ ] must have an entry/supressed for 19.1; suppresed [ ] must have an entry/optional for 19.1; optional [ ] must have an entry/required for 19.1; optional ] must not have an entry/required for 19.1; optional for 19.2. for for for for 19.2. 19.2. 19.2. 19.2. 18.2. 18.2. 18.2. 18.2.

20. Consider the following sentences: 20.1. Reconciliation accounts are general ledger accounts assigned to the business partner master records to record all transactions in the sub-ledger. 20.2. For accounts without line item display, the most important data from the posted line items is stored in a special index table. 20.3. The account currency must be in the local currency. 20.4. Items in accounts with open item management means the G/L accounts should have a offsetting posting for a given business transaction. Which of these are true (Please choose the correct sentence)? a) [ b) [ c) [ d) [ e) [ ] 20.1 and 20.4. ] ] ] ] 20.1 20.2 20.1 20.2 and and and and 20.3. 20.4. 20.2. 20.3.

Answers: 1. 2. 3. 4. 5. 6. A

A, A, B, B,

C, C, D, of of

D, D,

C E. D E. E.

Item Â³BÂ´ is the definition Item Â³CÂ´ is the definition Item Â³DÂ´ is not Item Â³EÂ´ is the definition of client.

controlling area. business area. any definition.

7. D In fact, the main advantage of using variants is that it is easier to maintain properties, which are common among several business objects. 8. 9. 10. A, Most of the world¶s currencies are already defined into R/3 system. B C C.

11. B Be careful: A base currency can only be used for an average rate, not for a selling or a buying rate. 12. A 13. E 14. B, C, D, E. A chart of accounts is a variant, which contains the structure and the basic information about general ledger accounts. 15. 16. 17. True or false: A, B, A, D, E. B.

17.1. True. 17.2. False. For P+L statement accounts the balance is carried forward to a retained earnings account and the P+L statement account is set to zero. 17.3. True. 17.4. True.

17.5. False. It is possible to influence the appearance of an account¶s master data using the field status. 18. 19. 20. E SAP FI/CO Sample Questions and Answers 2 1. Since the line item display takes up additional system resources, you should only use it if there is no other way of looking at the line items. So, you should not activate the line item display for the following accounts (Note: we can have more than one correct sentence. Please select the sentences you think they are correct): a) b) c) d) e) [ ] Tax. [ [ [ [ ] ] ] ] Material P+L Statement. Reconciliation. Revenue. Stock. D D

2. Consider the following statements: 2.1. Accounts with open item management must have line item display activated. 2.2. You can activate or deactivate open item management everytime, even if the account hasnÂ¶t a zero balance. 2.3. You can select both local and foreign currencies as account currency. 2.4. If the account is the local currency, the account can only be posted to this currency. 2.5. When using the Â³Only Balances in Local CurrencyÂ´ indicator in the master data record, transaction figures are only managed for amounts translated into local currency. Which of the above statements are true (Note: we can have more than one correct sentence. Please select the sentences you think they are correct)? a) [ ] 2.1. b) [ ] 2.2. c) [ ] 2.3. d) [ ] 2.4. e) [ ] 2.5. 3. True or false?

3.1. The ³Only Balances in Local Currency´ indicator must not be set in reconciliation accounts for customers or vendors. a) [ ] True. b) [ ] False. 3.2. The ³Only Balances in Local Currency´ indicator is usually set in balance sheet accounts that are not managed in foreign currencies and not managed on an open item basis. a) [ ] True. b) [ ] False. 3.3. Accounts with a foreign currency as an account currency can be posted to any currency. a) [ ] True. b) [ ] False. 3.4. You can use a a) [ ] True. b) [ ] False. group chart of accounts for internal purposes.

3.5. The usage of a financial statement version for the group chart of accounts is optional. a) [ ] True. b) [ ] False. 4. What is the disadvantage of using the group chart of accounts (Please choose the correct sentence)? a) [ ] Because changes to existing G/L Accounts are effective as soon as they have been saved and could have extensive consequences. b) [ ] Because accounts with the account currency as local currency can only be posted to this local currency. c) [ ] Because the company codes use different operational chart of accounts, you cannot carry out cross-company code controlling. d) [ ] Because the group chart of accounts must be assigned to each operational chart of accounts. e) [ ] Because you must enter the group account number in the chart of acounts segment of the operational account. 5. Consider the following statements: 5.1. You cannot use the country chart of accounts if you desire to use the crosscompany code controlling. 5.2. The disadvantage of using country chart of accounts is the accounting clerks who may be familiar with the country chart of accounts first have to get used to using the operational chart of accounts. 5.3. Reconciliation accounts are updated on a daily basis.

9. What characteristics are configured as standard for every customer/vendor account (Note: we can have more than one correct sentence. Please select the sentences you think they are correct)?

a) b) c) d) e)

[ [ [ [ [ ]

] ]

Line ] Open ]

Item Company

Item Purchasing

Display. Code. Currency. Management. Organization.

10. Consider the following statements: 10.1. Number ranges for customer/vendor accounts can overlap. 10.2. An one-time account is a special customer/vendor master record which a company rarely do business. 10.3. The account group is used to control the fields displayed in the master record. 10.4. If you enter an alternative payer, the amount to clear the open items due in the account is paid by the alternative payer. 10.5. One number range can only be assigned to one account group. Which of the above statements are true (Note: we can have more than one correct sentence. Please select the sentences you think they are correct)? a) b) c) d) e) [ ] 10.5. 11. True or false? 11.1. For every bank that is used in the system (for example, as a house bank or as a customer/vendor bank) you have to create a bank master record. a) [ ] True. b) [ ] False. 11.2. Banks that are used by your company are defined as house banks.a) [ ] True. b) [ ] False. 11.3. You cannot create bank master data when entering bank information in the customer or vendor master record. a) [ ] True. b) [ ] False. 11.4. Bank Account and G/L Account are the same master data object. a) [ ] True. b) [ ] False. [ [ [ [ ] ] ] ] 10.1. 10.2. 10.3. 10.4.

11.5. Customers that use the lockbox function can create a batch input session that automatically updates customer banking information in the master record. a) [ ] True. b) [ ] False. 12. Consider the following statements: 12.1. The system can assign the document numbers or the user can assign the number during document entry. 12.1. A business transaction creates only one document. 12.3. Document types are defined at company code level. 12.4. Number ranges for document numbers and account types defined for postings are defined by the document types. 12.5. Document types also define whether invoices are posted with the net procedure. Choose the correct option: a) [ ] 12.1, 12.4 b) [ ] 12.2, 12.4 c) [ ] 12.3, 12.4 d) [ ] 12.1, 12.3 e) [ ] 12.1, 12.2 and 12.5 are correct. and and and and 12.5 12.5 12.5 12.4 are are are are correct. correct. correct. correct.

13. What do the posting keys specify (Note: we can have more than one correct sentence. Please select the sentences you think they are correct)? a) [ ] Whether the line item is connected to a payment transaction or not. b) [ ] Whether the posting is sales-relevant and the sales figure of the account is to be updated by the transaction, for example, by the posting of a customer invoice. c) [ ] Whether the line items contain ³credit´ or ³debit´ values. d) [ ] Whether the line items are valid for a business transaction. e) [ ] Whether the accounts are allowed for posting. 14. Consider the following statements: 14.1. A company code must be assigned to a posting period variant to have the control for posting periods. 14.2.µ+¶ symbol represents all account types in the posting period customizing screen. 14.3. The account interval in the posting period customizing screen can be both G/L and subledger accounts. 14.4. The maximum amounts are defined per company code in ³tolerance groups´. 14.5. It is not possible to assign tolerance groups to user logon ID¶s.

15. What fields of a FI Document Header section can be changed after a document has already been posted (Note: we can have more than one correct sentence. Please select the sentences you think they are correct)? a) [ b) [ c) [ d) [ e) [ ] Posting date. ] ] ] ] Fiscal Reference Text Header Year. Number. fields. text.

16. About the change control, what conditions below are applicable (Note: we can have more than one correct sentence. Please select the sentences you think they are correct)? 16.1. The posting period is already closed. 16.2. The line item is not yet cleared. 16.3. The document is a credit memo for an invoice. 16.4. The document is not a credit memo from a down payment. 16.5. The line item is either a debit in a customer account or a credit in a vendor account. a) b) c) d) e) [ ] 16.5. [ [ [ [ ] ] ] ] 16.1. 16.2. 16.3. 16.4.

17. What are the prerequisites to enable negative postings (Note: we can have more than one correct sentence. Please select the sentences you think they are correct)? a) [ ] You have to define reversal reasons for negative reversal. b) [ ] You have to ensure company code permits negative postings. c) [ ] You have to define the document type that explicitly allows negative postings.

d) [ ] You have e) [ ] You have to reset cleared items.

to

use

cleared

items.

18. What is the purpose of the terms of payment (Please choose the correct sentence)? a) [ ] Calculate a cash discount and invoice due date. b) [ ] Calculate the tax amounts. c) [ ] Enable the cross-company code transactions. d) [ ] Define the baseline date. e) [ ] Calculate only the required conditions for SD invoices. 19. Consider the following statements: 19.1. Terms of payments are copied from invoice to credit memos when they are linked to. 19.2. Inserting a Â³VÂ´ in the invoice reference field during document entry means the terms of payment are activated in the non-invoice-related credit memos. 19.3. The account type field in terms of payment basic data screen should be defined separately, to prevent any done change in the term of payment. 19.4. The system cannot define the splitment of an installment payment, at least you define it in the terms of payment. 19.5. The day limits define the dates of the cash discount periods. Which of the statements above is false (Please choose the correct sentence)? a) b) c) d) e) [ ] 19.5. [ [ [ [ ] ] ] ] 19.1. 19.2. 19.3. 19.4.

movements of goods and use their own tax rates. a) [ ] True. b) [ ] False. 20.5. If you desire to post manual tax postings, you have to flag the ³Post Automatically Only´ field of the account master record. a) [ ] True. b) [ ] False. FI ERRORS AND PROBABLE SOLUTIONS These are some of the issue for which probable solutions are given, hope they are helpful : Scenario 1: I have configured FBZP, Fi12 for house bank. But when I am doing payment run in F110 I am getting following error: Company codes X1YZ/X1YZ do not appear in proposal 05/03/2006 REMI2. Diagnosis No data exists for the specified paying company code X1YZ and the specified sending company code X1YZ in payment proposal 05/03/2006 REMI2. System The payment proposal cannot be edited. response

Procedure Check the flow trace and payment proposal list in order to determine why the specified company codes are not contained in the proposal Solution : * That¶s generic error for payment run, check whether there are any due items as on date (tcode fbl1n). You can also change the baseline date there and rerun it. if you still get same error.. Check the proposal log, you will find the reason. * Try to see first whether any open items exist. By using FBL1N. Scenario 2: How to make the payment through automatic payment program, through F-110 .What are the prerequisites? Solution : For Down payments to be paid using APP we have create a Down Payment request F47.

Scenario 3: While doing APP, after, " the payment proposal has been created message " if edit proposal is selected, I am getting the error as "Company code ABC/ABC do no appear in the proposal " Solution : This type of error comes when your Payment proposal doesn't have any items to process. Check the parameters and ensure invoices are due as on run date. Scenario 4 : While posting customer invoice (FB70) why system asks for G/L account? As per accounting rules customer is debited and Customer reconciliation a/c is credited that ends double entry book keeping rule. Why one more G/L account on top of Recon a/c, which is posted automatically? Solution : * Entry gets posted to Customer a/c through reconciliation account. You have to give a GL a/c for revenue. Your Customer To Revenue entry (Reconciliation Cr would a/c) be Dr

* Reconciliation is a fictious entry so you cannot consider as an entry to be entered by the user. This rule is derived from the fact that 'we cannot enter/post directly to RECON account'. That is why system needs a GL account to make the account balance as zero. Manual entry could be: Customer To Domestic (Sales invoiced posted) a/c Sales Dr a/c

Recon entry is automatically made once you post this entry since you have configured your RECON in the IMG. Scenario 5 : I am unable to figure out how to attach my GL Accounts to my company code [copied chart of accounts, have my own company code, assigned my company code to the chart of accounts].

Solution : You can attach the GL Accounts by just filling the details in the company code segment of the GL A/c. Hence you can use that gl a/c for your co code. But that would be individually creating the accounts. Right?? How about creating all accounts at one shot. Create in FS00 Scenario 6 Difference between Standard Hierarchy and Alternate Hierarchy. :

Solution : Standard Hierarchy is basic structure of company but alternative hierarchy is just for reporting or temporary usage. Scenario 7: I have created depreciation keys (diminishing balance) and assigned to asset classes respectively. But at the time of asset master creation the system ask for Useful Life of the asset while my understanding is that in diminishing balance method there is useful life, just percentage is defined. Solution : Useful life is required for depreciation change. Normally a company with WDV depreciation may want to write off its assets which have crossed their useful life in 2 or 3 installments. This is achieved by depreciation change, where after useful life, a new method takes over. Scenario 8 I have some conceptual problem in Internal Order. :

Solution : Internal order can only take a statistical posting & cost centre shall take a true posting when the relevant internal order is defined as statistical I/O IN T. code KO01(CONTROL DATA ) tab. So while making a posting in FB50 and assigning both I/O & COST CENTRE as relevant cost object in the transaction you shall get the stated status of these 2 cost object. Scenario 9 : In fb50, in the details tab, only if I tick 'calculate tax' will the tax get calculated. Our user wants this to happen always (by default), i.e. he does not want to tick this for each transaction. Is there any setup to be done for the tax to get calculated always?

Solution : Even now you are not clear. T_Code FB50 is used for posting GL account only. I fail to understand how you can calculate tax which is generally from purchase / vendor or Sales / Customer oriented through FB50. In case of local distribution, if we forget to pay taxes on certain items and we need to pass tax entries, then such a case is needed. This can be achieved thru default parameter id for that particular user through transaction code SU3. In SU3, in Parameters Tab put "XTX" in Parameter ID column and in Parameter Value column put "X". Scenario 10 : We have an issue here where by the system is calculating the tax for an invoice with a wrong tax base amount. How do i change the tax base amount? I get the tax rates from VERTEX and they are showing right. Where does the system pull this tax base amount for an Invoice and how can I change it. Solution : Kindly check this: spro - financial accounting - f.a global setting - with holding setting - extended with holding setting -- calculation -- with holding tax type . Check your withholding tax type, go in it and check the setting. Some Important Tcodes for FI GL AR AP Asset T Codes Details Financial Accounting SPRO Enter IMG OX02 Company Code - Create, Check, Delete OX03 Create Business Area OKBD Functional Areas OB45 Create Credit Control Area OB29 Maintain Fiscal Year Variant OB37 Assign Co. Code to Fiscal Year Variant OB13 Creation of Chart of Account (CoA) OBY7 Copy Chart of Account (CoA) OBY9 Transport Chart of Account OBD4 Define Account Group OBY2 Copy GL Accounts from the Chart to Co. Code OB53 Define Retained Earnings OB58 Maintain Financial Statement Versions

Both are same in SD point of view. In SD terminology we call as Billing Document and In FI terminology we call as INVOICE. - In MM again only INVOICE will be there for Vendors. Invoice is document indicating to delivery goods and Billing is a receipt of payment. If we receive the goods from vendors that is called bill if we give the goods to customer that is called invoice. Bill means we have to pay the amount against bill invoice means we have to receive the amount against invoice. Invoice is for both : Vendor Invoice and Customer Invoice. Billing Tcodes: - VF01 create billing document. The delivery order comes up auto. - VF02 the billing doc comes up auto . View the accounting enteries Invoice FB60 Create invoice with respect to - FB70 Invoice entries with respect to sales and tax SAP FI Transaction Code List 1 How to reverse a cleared documents? The following procedure is to be followed to reverse the cleared document. 1. Reset the cleared document and reverse the document. Path # Accounting --> financial Accounting --> C/L --> Document--> Reset Cleared items T. code : FBRA In this screen select resetting and reverse radio button and give the reversal reason. : 01 and save the settings. *-- Maddipati F-01 F-02 F-03 F-04 F-05 F-06 F-07 F-18 Enter Sample Document Enter G/L Account Posting Clear G/L Account Post with Clearing Post Foreign Currency Valuation Post Incoming Payments Post Outgoing Payments Payment with Printout rawmaterial Tcodes: and tax.

(Note : Similar Reports available for A/R are available for A/P also) 1. Vendor Balances S_ALR_87012082 2. Vendor Debit/Credit Memo Register S_ALR_87012287 Is there a Report displaying Master data, that is a list of vendors showing name, address, payment method, etc ( everything about vendor). Is their any report like that and what's the table name to display all vendor master data too. Go to this menu: Financial Accounting -> Accounts Payable -> Information System -> Reports for AP accounting -> Master Data. How to get Report of Withholding Tax along with Vendor Name. What is the TCode or Path for this report? You can get the withholding tax report for vendor by using these t.codes: S_P00_07000134 Generic Withholding Tax Reporting S_PL0_09000447 - Withholding tax report for the vendor Which reports we can use for the receivables to be checked on daily basis? Go to SAP Easy Access main menu. Go To Accounting -> FI Acc -> customer(receivables) -> information system -> reports . Here you can get all the standard reports for receivables. The Financial Statement Closing Tcodes 1. Maintain Financial Statement Versions IMG -> Financial Accounting -> General Ledger Accounting -> Business Transactions -> Closing -> Documenting -> Define Financial Statement Versions OB58 2. Execute a Balance Sheet (RFBILA00) Information Systems -> Accounting -> Financial Accounting -> General ledger -> Information System-> Balance Sheet or

Generate a Cost Center Actual/Plan/Variqnce Report Generate an EC-PCA Actual Line Items Report Generate a TDC PCA Analysis Report GR55 Generate a PCA Actuals Report SART Generate a COPS Reclassification for Carrier Sales Report SA38 Generate a FPLC Mix Adjusted Report What The Tcode To Design Report In KE30 Which tcode to edit the design of the report in ke30? Why when execute the report in ke30, no variant and all report not able to run despite parameter entered? In COPA, before creating report, you have to define forms. For forms check this t.codes: KE34 - Define Forms for Profitability Reports KE94 - Define Forms for Reports Based on Line Items Reports check this t.codes. KE31 - Create Profitability Report KE91 - Create Report Based on Line Items KE32 Change Report

In KE30 Profitability analysis reports, how do I include CoCode as selection parameter in GRMARG001C & GRMARG004B These are custom reports created in your Op Co. Option 1. Call the form using KE35 and check if the Company Code is assigned to any of the columns or rows by double-clicking these. If it has been assigned and if there is a Fixed Value, rather than a Variable, you may then have to change that to a variable. The Company Code will then appear on your selection screen by default. Option 2. Call KE35 and check if the Company Code has been assigned in the General Selections screen. chances are it is not. In which case, include it from the list

of Characteristics to your right. Provide a variable value, so the system prompts for an entry while running the report. Option 3. Call up the report using KE32 and check if the Company Code characteristic appears under "Variables". Make sure that small box next to it is checked (Entry at Execution). This should bring up the field during report run. In KE96 pick the form that relates to your report. Then EDIT- Gen. Data Selection- . Move the Characteristic you want to the left in the selected characteristics. Where to find the transparent tables where those data(s) are stored in tcode KE30 PA transparent tables are in the following; xxxx = operating concern Table COEP CE1xxxx = actual line items table COEJ CE2xxxx = plan line items tables COSP COSS CE3xxxx = segment level CE4xxxx = Profitability segment. Check individual data for KE30 KE24 - Display Actual Line Items

What is the table name for G/L Master data, when we create centrally (T.Code FS00)? As far as general ledger master data is concerned, the following tables are involved : Table name Fields: : SKB1 : G/L : : Account Master ( Company Code) Code Account

Inventory Accounting Entries All the Inventory transactions will look for the valuation class and the corresponding G.L. Accounts and post the values in the G.L accounts. For Example: during Goods Receipt Stock G/R Freight Other Account I/R Account Clearing account expenses payable Dr Cr Cr Cr

During Invoice Verification G/R Vendor - Cr I/R Account Dr

When the Goods are issued to the Production Order the following transactions takes place: Consumption Stock A/c - Cr of Raw Materials Dr

When the Goods are received from the Production Order the following transactions takes place: Inventory A/c Cost of Goods Produced Cr Price difference (depending on the difference between standard cost and actual cost) Dr Dr/Cr

When the Goods are dispatched to customer through delivery the following transactions takes place: Cost Inventory A/c - Cr of Goods Sold Dr

When the Goods are issued to a Cost Center or charged off against expenses the following transactions takes place: Repairs Inventory A/c - Cr and Maintenance Dr

When the Goods are stock transferred from one plant to another, the following transactions takes place: Dr (Receiving location) Cr (Sending location) Price difference Dr/Cr (due to any difference between the standard costs between the two locations) When the stocks are revalued, the following transactions takes place: Stock A/c Inventory Revaluation A/c - Cr / Dr Dr/Cr Stock Stock A/c A/c

When the Work in Progress is calculated the following transaction takes place: Work in Change WIP A/c - Cr Progress A/c Dr

Sales and Distribution Accounting Entries INVOICE GENERATION Invoices will be generated at the Smelters and stock points. The accounting entries for the sale of goods despatched will flow from the Sales invoice generated in SAP Sales and Distribution module. The following entries shall be passed Customer Account Dr Revenue Cr Excise Duty Payable Cr Sales Tax Payable (local or central) Cr Note: As mentioned above in the FI document, which is created in the background, the SD invoice number shall be captured. However as per the current accounting procedure the accounting entry passed is as follows :Customer Account Dr Revenue Cr Excise Duty Billed Cr Sales Tax Payable (local or central) Cr Excise Excise duty payable a/c duty Cr paid a/c Dr

EXPORT SALES There have been very few export transactions in the past. SAP system will be designed to handle export business. Exports are mainly from the mines and will be handled at the mines, however the documentation part will be taken care at the Head Office. The accounting entry is: Customer Account Dr Revenue (Exports) Cr The realisation of export sales will be directly credited to the bank. The accounting entries will be as follow: Bank Dr Customer Cr Exchange Fluctuation Dr/ Cr The accounting entries Rebates/Discounts Customer will be: Dr Cr MEMOS

DEBIT

Debit Memos shall be issued in case of price difference, sale tax difference and interest on usance period and overdue payments. The accounting entries for two Price possible scenarios are as follows: Undercharged: Dr. Cr. Cr. undercharged Dr. charges Dr.

In case of HZL a complete retirement or a partial retirement of asset is done. The system uses the asset retirement date to determine the amount to be charged off for each depreciation area. The existing accounting policy is to provide depreciation for the full quarter in which the asset is sold/discarded, recommended that the depreciation be provided from the date of acquisition on prorata basis . Accounting entry for sale of Asset to customers: Customer Account Dr Asset Sale Cr Accumulated Depreciation Dr Loss on Sale (if applicable) Dr Asset Sale account Dr Asset account Cr Profit on sale (if applicable) Cr

SALE OF SCRAP The sale of scrap (non-stock) shall be mapped as a direct manual FI entry. The customer will be created as a FI customer. No Logistics module will be involved in the process. A FI Invoice will be prepared for the sale of scrap with the following entries: Customer Dr Sale of Scrap Cr Excise Duty Payable Cr ADVANCES FROM CUSTOMERS Advances are received from the customers against delivery. These advances will be recorded in a special general ledger account. The accounting entry for the same will be: Bank Account Dr Advance Customer Payments Cr These advances will be later on adjusted against the invoices raised on the customers. Advances can be adjusted against more than one invoice at the time of clearing of the invoices against advances. Adjustment Customer Account Advance Customer Payments Dr of Advances Cr

A financial document would be created for each Bank Guarantee received and this document number will be referred to in the Sales Order which would then monitor the value and the validity of the of the Bank Guarantee instrument wise while doing the billing.The letter of credit /Bank guarantee given will be recorded as a noted item. Accounting Entry for Stock/Inventory GR/IR account Freight clearing account Cr Goods account receipt Dr Cr

TDS (Work Contract Tax) for Service Orders shall be calculated and deducted accordingly. The following entry will be passed on bill passing: Expenses Vendor TDS Account The CR be returned to the vendor movement be processed after GR/IR Stock A/c Cr The accounting in respect of debit / credit memos for FI vendors, the process will be similar to that of invoice processing. The accounting entries will be: On issue of debit note Vendor Account DR Expenses Account CR A/c in vendor type the using in MM the SAP material shall Return to Creating a Return PO Account Account DR CR

A new G/L account shall be created for the special G/L transactions. The accounting entry for making the down payment shall be: Advance to supplier account Debit Bank A/c Credit When invoice is booked GR/IR Vendor Clearing of Invoice Vendor Vendor down payment account Credit the the following account account against A/c entry Down is passed Debit Credit Payment Debit

Wherever, TDS is applicable, the TDS will be deducted at the time of down-payment to the vendor. Down Payment for Capital (tangible) Assets Down payment to vendors for capital acquisitions is to be reported separately in the Balance Sheet under the head Capital Work in Progress. Hence down payment for capital goods would be tracked through a separate special general ledger indicator. The Definition of down Clearing the procedure to be followed is: alternative reconciliation accounts for Accounts Payable for posting payments made for Capital assets down payment in Accounts Payable with the closing invoice.

Reversal Entry In Accounting Why do we pass reversal enteries? At times some incorrect documents might have been entered in the systems. If you have entered an incorrect document, you can reverse it. Note that R/3 can reverse a document only if the following conditions are met: Contains no cleared items Contains only vendor, customer, or G/L line items Was posted within the FI system - Contains only valid values, such as business areas, cost centers, and tax codes Ordinarily, you post a reversing document in the same period you posted the original document. The period of the original document must be open to post a reversing document. If the period is not open, you can overwrite the posting date field with a date in an open period, such as the current period. Reversal can be done individually FB08 or Mass F.80.

If the document to be reveresed contain cleared items, then cleared item must be reset before the reversal of document.

3) Banking Operations - Maintenance Of Bank Master 4) A House Bank is a combination of a Bank and a Branch. Account id is the account number. A house bank can have multiple account IDs.. There could be a main account as also payable account, which will be defined as separate account ids. General

Ledger accounts have to be created for each combination of a house bank and account ID. The bank master details are to be provided by HZL. 5) General Ledger accounts have to be created for each account ID in the house bank. Bank Account Master data will be maintained by the Finance Department centrally. 6) Each house bank and account ID combination shall have one main general ledger account and several sub accounts mainly based on broad transaction types. These sub accounts are necessary to facilitate automatic bank reconciliation process in R/3 system. Bank Accounting 7) The accounting entries will be generated automatically according to the posting rules attached to the Transaction type. The following accounting entry is passed by the system in respect of cheque deposit on account of collection from domestic customers. Bank cheque Customer account deposit account Credit Debit

8) In this case, a bank sub account is selected based on the transaction code entered by the user. The customer account is cleared i.e. invoice is cleared against the receipt. In respect of any other deposits, the relevant accounts to be credited will depend on the nature of transaction. 9) Payment against bills for collection. Based on the bank advices falling due on a particular day one payment advice is made debiting the vendors and crediting bank. Cheque Deposit Customer Receipts 10) All cheques received from customers shall be accounted at the point of receipt. The entry posted shall be Bank Customer Account Sub Cr account Dr

Cheque Deposit Other Than Customer Receipts 11) All other receipts will be accounted through the Incoming Payment Transaction of the Accounts Receivables module. Cheque Bouncing ± Other Than Customer Receipts

12) Based on the information of cheque bounced from the Bank, the accounts Department will pass accounting entries for the cheque that have been bounced. The procedure to handle bouncing of a cheque has been discussed under the following 13) Reset the clearing document ± If the document has been cleared i.e. an open outstanding item has been cleared against an incoming receipt, then the clearing document has to be reset to its original status of open item. This process is known as reset of cleared document. 14) Reverse the entry passed for cheque deposited earlier ± Once the document has been reset it will be reversed. The following accounting entry will be passed. FI Customer DR Bank cheque deposit account CR 15) In case of cheques being damaged while printing, the concerned cheques no. has to be voided and the payment will be rerun. Bank Reconciliation 16) The Bank reconciliation process is based on the entries passed through the Bank sub account and main account. The process is dependent on the Bank Statement received from the Bank that will be entered into SAP. Accounting rules are to be defined for each transaction type and posting rule for posting accounting entries as per bank statement. Bank statements to be uploaded into SAP. 17) Bank Main account balance is the actual balance as per the bank statement whereas the Bank sub accounts denote the reconciliation items. These sub accounts show those entries, which will flow from the sub account which are not cleared in the bank statement. 18) Adding or subtracting the Bank sub accounts will help in preparing the Bank reconciliation statement. 19) The following scenarios would explain the reconciliation process: Cheque received from customer Cheque issued to vendors Cheque received from Other than Customers Direct Debits in Bank Statement Direct Credits in Bank Statement - Fund Transfer between Bank Accounts Cheque 20) Accounting Received entry at the time From of cheque Customer deposit entry

Bank

Cheque Customer

deposit Credit

account

Debit

21) Accounting entry after cheque has been cleared in the Bank statement Main Bank account Debit Bank Cheque deposit account Credit 22) The clearing criteria for updating the bank main account and bank sub account will be amount and document number which will be captured in the allocation field of the bank sub account. The items, which have not been cleared in the bank statement, will remain open in the bank sub account and will form part of the bank reconciliation statement. Cheque 23) Accounting Issued To entry at the time of Vendor account Bank cheque payment account Credit Vendors cheque issue Debit the Bank Debit

24)

Accounting

entry after cheque has been presented in Bank cheque payment account Main Bank account Credit

25) The clearing criteria used for updating vendor account and Bank cheque payment account will be amount and cheque number. The cheques presented to the bank and are cleared are transferred to the bank main account. The remaining cheque issued will form part of the bank reconciliation statement. Direct Debit In Bank 26) Direct debit instructions will be given to the bank for example, LC payments or certain bank charges are directly debited in the Bank Statement. In this case accounting entry is passed only after the entry is passed in the bank statement. Vendor / Expense Account Debit Bank clearing account Credit Direct Credit In Bank 27) Customer receipts are sometimes directly credited in Bank. E.g. export receipts. In this scenario accounting entry is passed only at the time of bank statement entry. The following accounting entry is passed Bank clearing account Debit Customer account Credit

Main Bank Clearing A/c

Bank Credit

A/c

Debit

Bank Fixed Deposits 28) HZL has a practice of converting any amount above Rs. 1 crore in its Main bank account, to a fixed deposit subject to a minimum of Rs. 1.01 crores. The FDR number can be filled in one of the fields available in the accounting document. Cheque Management / Cheque Printing Cum Advice 29) The function of cheque management will enable printing of cheque through SAP. Cheque series will be defined for a combination of a Company code and Bank Account. Cheque numbering will be sequential order. 30) Cheque series for automatic payment has to be in sequential order. Cheque printing facility will be available for the bank account. Cash Management / Liquidity Analysis 31) The day-to-day treasury process in a company includes a number of transactions. This includes determining the current liquidity using bank account balances (cash position), determining open receivables and liabilities (liquidity forecast), manually entering planned cash flows (payment advice notes), through to clearing bank accounts, that is, collecting multiple bank account balances on one target account. 32) The main objective is to ensure liquidity for all due payment obligations. It is also important to control and monitor effectively the incoming and outgoing cash flows. 33) This section shows you the overall liquidity status of your company by displaying together the cash position and the liquidity forecast. The cash position is used in Cash Management to show the value-date-dependent bank accounts and bank clearing accounts, as well as the planned cash flows (payment advice notes). The liquidity forecast comprises the incoming and outgoing cash flows, as well as the planned items on the sub-ledger accounts. Clear Off Duplicate House Banks In System We have certain duplicate house banks in the system. Now we want to clear them off, so that we can have a better control over the bank activities including reconciliation. Can Answer: we delete the house bank directly?

It is possible to delete a house bank. First de-assign the GL account assigned to the account id. Delete Then all delete the the account Bank IDs. ID.

By this way you can delete the house bank. The values are stored under the GL account and not under the house bank. Hence it is possible to delete the house bank once you de assign the GL account from the account ID. Do You not need delete to the do house the bank below directly. things:-

(1) First make the GL account balance as zero for the duplicate house bank, e.g. by transferring to the original house bank. (2) Then block this GL master.

(3) Then remove all the assignment of this duplicate house bank and account ID in FBZP (4) Close the check lot information for this house bank.

Then this house bank will become ineffective, you can change the description of this house bank to ³Obsolete´ etc. If you delete this house bank, the effect will be that for check information, it will show with incorrect house bank. If not important in your case, then you can delete the house bank. What Are The Posting Keys For AP, AR & GL Below given is the recommended posting key to be used for particular transaction by SAP. If we use posting key according to this then standard reports set /given by SAP will come with accuracy. This is for information By: Abhijit 1-19 20-39 customer Vendor

After completed the posting all the inital accounts are "0" Value and all the General Clg A/c are "0". If you want to post the Customer open item line by line, prepare the XL sheet upload through LSMW. If you want to check the TB in SAP to Tally, select all the document and filter the Doc.Type "LD" the debit balance and credit balance are "Zero". IMG Transaction code OBYC Integration Through T.code Obyc, I configure the BSX Key for Inventory Material. Configure Valutiaon Class, and Valuation Modifier and Given G.L. Account Number and save. After configuration all these, what are step to configure because I have been Interviwed by this question and I don't know what are next step. Transaction code : OBYC (in easy access) In this transcation we have to specify GL account codes for material valuation created by MM consultants. The process in MM is here below: 1) Purchase Order : Tr code ME21N - here no integration required with FI 2) Goods Issue : Tr Code MIGO - here no integratinwith FI 3) Invoice Reciept - Tr Code MIRO - here when the invoice is recieved & MM process the transaction based on OBYC configuration system will generate FI document. System also generates Material document as well 4) Payment : Tr code F110 - Here also the the transcation affects FI

The theory of how MM activity triggers A/c posting is: Each movement type has quantity and value string, which decides what to update. Also each movement type has transaction event key (account modifier) which in turn depending upon valuation grouping code and valuation class decides which G/L account to post. The flow is as follows: Material type --> Account Category reference --> Valuation class -->Material. Movement type -->Transaction event key-->Account modifier. You have to do the configuration settings using Tr. code OBYC. Try with Tr.code OMBW to check which G/L accounts are being hit on Plant, Material and movement type. OBYC Different transaction like BSX, GBB Stock posting (BSX) - This transaction is used for all postings to stock accounts. Such postings are effected, for example: In inventory management in the case of goods receipts to own stock and goods issues from own stock. In invoice verification, if price differences occur in connection with incoming invoices for materials valuated at moving average price and there is adequate stock coverage. In order settlement, if the order is assigned to a material with moving average price and the actual costs at the time of settlement vary from the actual costs at the time of goods receiptBecause this transaction is dependent on the valuation class, it is possible to manage materials with different valuation classes in separate stock accounts.

Caution: Take care to ensure that: A stock account is not used for any transaction other than BSX. Postings are not made to the account manually. The account is not changed in the productive system before all stock has been booked out of it. Otherwise differences would arise between the total stock value of the material master records and the balance on the stock account. Offsetting entry for stock posting (GBB) - Offsetting entries for stock postings are used in Inventory Management. They are dependent on the account grouping to which each movement type is assigned. The following account groupings are defined in the standard system:
y y y y y y y y y y y y y y y y

AUA: for order settlement AUF: for goods receipts for orders (without account assignment) and for order settlement if AUA is not maintained AUI: Subsequent adjustment of actual price from cost center directly to material (with account assignment) BSA: for initial entry of stock balances INV: for expenditure/income from inventory differences VAX: for goods issues for sales orders without account assignment object (the account is not a cost element) VAY: for goods issues for sales orders with account assignment object (account is a cost element) VBO: for consumption from stock of material provided to vendor VBR: for internal goods issues (for example, for cost center) VKA: for sales order account assignment (for example, for individual purchase order) VKP: for project account assignment (for example, for individual PO) VNG: for scrapping/destruction VQP: for sample withdrawals without account assignment VQY: for sample withdrawals with account assignment ZOB: for goods receipts without purchase orders (mvt type 501) ZOF: for goods receipts without production orders (mvt types 521 and 531)

You can also define your own account groupings. If you intend to post goods issues for cost centers (mvt type 201) and goods issues for orders (mvt type 261) to separate consumption accounts, you can assign the account grouping ZZZ to movement type 201 and account grouping YYY to movement type 261.

Caution: If you use goods receipts without a purchase order in your system (movement type 501), you have to check to which accounts the account groupings are assigned ZOB. If you expect invoices for the goods receipts, and these invoices can only be posted in Accounting, you can enter a clearing account (similar to a GR/IR clearing account though without open item management), which is cleared in Accounting when you post the vendor invoice. Note that the goods movement is valuated with the valuation price of the material if no external amount has been entered. As no account assignment has been entered in the standard system, the assigned account is not defined as a cost element. If you assign a cost element, you have to enter an account assignment via the field selection or maintain an automatic account assignment for the cost element. GR/IR clearing (WRX) - Postings to the GR/IR clearing account occur in the case of goods and invoice receipts against purchase orders. Caution: You must set the Balances in local currency only indicator for the GR/IR clearing account to enable the open items to be cleared. Price differences (PRD) - Price differences arise for materials valuated at standard price in the case of all movements and invoices with a value that differs from the standard price. Examples: goods receipts against purchase orders (if the PO price differs from the standard pricedardpreis), goods issues in respect of which an external amount is entered, invoices (if the invoice price differs from the PO price and the standard price). Price differences can also arise in the case of materials with moving average price if there is not enough stock to cover the invoiced quantity. In the case of goods movements in the negative range, the moving average price is not changed. Instead, any price differences arising are posted to a price difference account. Depending on the settings for the posting rules for transaction/event key PRD, it is possible to work with or without account modification. If you use account modification, the following modifications are available in the standard system: None for goods and invoice receipts against purchase orders. Purchase account(EIN), purchase offsetting account (EKG), freight purchase account (FRE) These transactions are used only if Purchase Account Management is active in the company code.

Note Due to special legal requirements, this function was developed specially for certain countries (Belgium, Spain , Portugal, France, Italy, and Finland). Before you use this function, check whether you need to use it in your country. SAP FI FAQ 1. There is "company" field in the Company Code global settings. The R/3 help says that it is being used for consolidation. We can use Group Chart of account to do the same. What is the significance of this field? What is different between company & company code? 2. When we copy the COA, only one Fin Stat Version is being copied. A COA can have many Fin Stat Version. Why copying of COA allows only one Fin St Ver? 3. What are the information that are not copied to new company code when we copy company code? 4. Whether one group chart of account can be assigned to 2 Operational charts. For Eg. INTA and INTB is being used by group of company as OCA. Whether GCA GRP can be assigned to INTA and INTB? 1A). Company is an organizational unit which is generally used in the legal consolidation to roll up financial statements of several company codes. A company can include one or more company codes. If we are going for Consolidation , we need to enter the 6 character alphanumeric company identifier that relates to this company code. Company Codes within a Company must use the same chart of accounts and fiscal year. And for consolidation purpose we use Group COA wherein we link the Operating COA thru entering the GL account no. of the Group COA in the GL Account of the Operating COA. 2A). A financial statement version corresponds to the chart of accounts and wherein Individual (operational) accounts are assigned to the corresponding FS item on the lowest level of this version. But as for the rollup of Accounts is not possible in all the FSV which can be copied, n rather can update manually n create multiple FSVs if necessary depending on the Financial Statements which are necessary for the Organisation.

3A). All the Organizational units (Global Data) for a company code will b copied to new company code upon using the copy function except for the transactional data. 4A). Yes, Group COA can be assigned i.e., the GL A/c.No. is linked to the GL Accounts of the both Operating COA . That means Group COA consists of Unique set of Accounts which can be linked to Op.COA ±1 and Op.COA ±2. SAP FI/CO Tips by: Sneha Reddy Ans: Q.No.1. In the SAP system, consolidation functions in financial accounting are based on companies. A company can comprise one or more company codes. for example: Company A have 4 company codes which is existing in different state and / or country. When Company A wants to consolidated the accounts, it will give the common list of accounts which in turn called group chart of accounts. Group chart of account is used to define/ list the GL account uniformly for all company codes. Ans: Q.No.2. In SAP R/3 system, will allow only one financial statement version for single COA which you need to assign the same while copying the COA. T.code OBY7 Ans: Q.No.3. When you want to create FYV, PPV, COA etc for new company code which is as same as existing company code, then you can copy all the information from the source company code to the target company else whatever is required as per the new company code requirement you can only copy the same, rest you can create as per the requirement. for example Fiscal year for new company code may be shortented fiscal year which is differ from the existing company code. In this case, fiscal year for new company code you have to create and assign it to company code. Ans: Q.No.4. Operational chart of accounts is something differ from the Group chart of accounts but Group chart of account can be assigned to Operating chart of account 1 and 2 through GL account no. Operating chart of accounts: The operating chart of accounts contains the GL accounts that you use for posting in your company code during daily activities. Financial accounting and controlling both use this chart of accounts. You have to assign an operating chart of account to a company code. Group chart of accounts: The group chart of accounts contains the GL accounts that are used by the entire corporate group. This allows the company to provide reports for the entire corporate group.

SAP

FI/CO

Tips

by: Palanivel

Elangovan

How do I know which target cost version we are using? To find out which version is used for your Target Cost, try this menu path IMG > Controlling -> Product Cost Controlling -> Cost Object Controlling -> Product Cost by Order -> Period-end Closing -> Variance Calculation -> Define Target Cost Versions (tcode OKV6).

How do you change the "Input tax code - Assets without input tax" value for a company in Asset Accounting? Technically, how do you change field MWSKZVA field in table T093C? TIA. You can used transaction 'OBCL'. Via customizing: Asset accounting -> Integration with general ledger -> Assign input tax indicator for non-taxable acquisitions

Require GR & IV report Is there any report on GR pending for IV? You could try executing program RFWERE00, without postings. This is the same program which is used for period end closing- regrouping of GR/IR...but for only a report do not create postings. or May be transaction MB5S can help you out.

Retained Profit Account After you run the GL balance carry forward, you only manage to know the balance carry forward for the retained profit account but you don't how much is actually post to the particular account. You have try almost all of the standard report but still can't find any report that can show you the figure.

The balance carried forward is only a 'calculated' figure and not a 'posted' figure. The break-up of the retained earnings figure is available when you run the balance carried forward report. You can also derive the balance by selecting only the P&L Accounts for the relevant period. The net balance of these accounts should equal the retained earnings account.

ACH payment configuration Based on 4.0B. Is it possible to configure the system for ACH payments or do we need to upgrade? You can use RFFOUS_T to produce an ACH file. You may have to use user exits to write header and trailer records. Please read documentation on this program and it is self-explanatory.

Locking of Planning Data in Profit Center Accounting How to lock planning data in profit center accounting. In 4.6 b the transaction is S_ALR_87004395 - Maintain Versions you can lock versions for each fiscal year

Changes in vendor master Is there a report which shows changes in vendor master data. Not only for one like MK04 or XK04 but for a range like all changes in vendors per ccode. (should be similar to customer master transdaction OV51) You can used report "RFKABL00". In the accounts payable reporting menu this program can be found via: Accounts payable -> Adequacy and documentation -> Master data -> Display of vendor changes (depending on your SAP version of course)

Bank Statement Upload

How to used the program RFEBKATX? This creates two files STATE.TXT and ITEM.TXT. How are these files imported into SAP? Try using program RFEBKA00 to upload the two files. - one is the header file containing the House bank & account information along with the date and the statement number - the other is the item details. SAF FI Frequently Asked Questions 1 1. Whether any FI doccument will be created during PO(Purchase order)? If please mention the entry also. 2. What factors differentiates from one dunning level and other dunning level? 3. APP There will be many banks in a house bank. If the payment should be maid from particular bank GL account. Where it is need to configured. 4. What are various types of servers in SAP R/3 5. Can anybody explain me FI-MM integartion.pl explain in detail i. movement types ii. account class iii. material types 6. Maximum no. of dunning levels are created? 7. In how many ways APP is configured 8. What is diff between AAM, Recurring entries, Sample doccument? Find here with the answers for your questions 1.Whether any FI document will be created during PO(Purchase order)?If pl mention the entry also? Ans: There is no document that is created in FI side during PO. But in controlling there can be a commitment posting to a Cost Center. The offsetting entry is posted at the time of GR. 2.What factors differentiates from one dunning level and other dunning level Ans: The most important thing that differentiates the dunning levels are the dunning texts. The dunning text defines the urgency of the dunning notice. The other things can be the dunning charges, minimum & maximum amounts etc. 3.APP

There will be many banks in a house bank. If the payment should be maid from particular bank GL account. Where it is configured. Ans: There can be several accounts in the same house bank. We should assign the GL accounts exclusively at the time of creating the Bank master data and the bank accounts. Accordingly we can do the bank determination in FBZP for the individual banks and the corresponding sub accounts. Tr code for Defining bank : FI12. 4.What are various types of servers in SAP R/3? Ans: The Typical SAP landscape looks something like figure 1.4 below: 5.can anybody explain me FI-MM integartion.pl explain in detail i. Movement types: Classification key indicating the type of material movement (for example, goods receipt, goods issue, physical stock transfer). The movement type enables the system to find predefined posting rules determining how the accounts of the financial accounting system (stock and consumption accounts) are to be posted and how the stock fields in the material master record are to be updated. ii. Valuation class Assignment of a material to a group of G/L accounts Along with other factors, the valuation class determines the G/L accounts that are updated as a result of a valuation-relevant transaction or event, such as a goods movement. The valuation class makes it possible to: - Post the stock values of materials of the same material type to different G/L accounts - Post the stock values of materials of different material types to the same G/L account iii. Transaction/Event Key

Key allowing the user to differentiate between the various transactions and events (such as physical inventory transactions and goods movements) that occur within the field of inventory management. The transaction/event type controls the filing/storage of documents and the assignment of document numbers. iv. Material Type Groups together materials with the same basic attributes, for example, raw materials, semifinished products, or finished products. When creating a material master record, you must assign the material to a material type. The material type you choose determines: - Whether the material is intended for a specific purpose, for example, as a configurable material or process material - Whether the material number can be assigned internally or externally - The number range from which the material number is drawn Which screens appear and in what sequence Which user department data you may enter - What procurement type the material has; that is, whether it is manufactured in-house or procured externally, or both Together with the plant, the material type determines the material's inventory management requirement, that is: - Whether changes in quantity are updated in the material master record - Whether changes in value are also updated in the stock accounts in financial accounting 6.Maximum no. of dunning levels are created? Ans: 9 levels maximum. 7.In how many ways APP is configured? Tr Code: FBZP 8.What is diff between AAM,Recurring entries,Sample doccument?

Account Assignment Model: A reference for document entry that provides default values for posting business transactions. An account assignment model can contain any number of G/L account items and can be changed or supplemented at any time. In contrast to sample documents, the G/L account items for account assignment models may be incomplete. Recurring Entries: A periodically recurring posting made by the recurring entry program on the basis of recurring entry original documents. The procedure is comparable with a standing order by which banks are authorized to debit rent payments, payment contributions or loan repayments. Sample Documents: Special type of reference document. Data from this document is used to create default entries on the accounting document entry screen. Unlike an accounting document, a sample document does not update transaction figures but merely serves as a data source for an accounting document. SAF FI Frequently Asked Questions 2 1. Where to assign activity type in cost centers? OR how to link cost centers & activity types? >> There is no direct assignment. You plan the output for a cost center first in kp26. Then you've to plan the value of that cost center which you budget for a period in kp06. Planned Activity expenditure / Planned Actvty qty gives yoa planned act rate which you can use to valuate your activity confirmations in mfg ordrs. You can also define your own prices,but you have to run the price revaluation if you want to revaluate your actual activity prices. 2. For stat. key figure what is the significance of sender & receiver cost elements & cost centers? >> Stat key fig are not real account assignments. In simple traditionl terms it is the base to allocate or define praportions with which the cost is allocated. SKFs are used to calculate the debit on a receiver object. These values can be used for assessing common costs which are used by all the other cost centers.

3. How SKF works .. Kindly give me T Codes Also. >> You create & Create using KK01 & PLAN the parameters of SKF in KP46 SAP Tips by: Dhiraj 1. Does any one know what is Software life cycle, it was a question asked in an interview. 2. In GL master we have a option "Balance in local currency" and "Account currency". What does it mean? 3. In movement type(MM), what is value & quantity string I know it updates values and quantities in GL with mix of valuvation class, transaction key modifier and GL A/c. But how does it work when doing a mvt type? 4. In FI when doing Special GL transaction what determines the fields statues of the screen and why do we have so many screens followed by it. Is it determined by Posting Keys? is it to determine Account type for which we are using the Special GL and debit and credit? Q: Software Life Cycle, Ans: it is nothing but Road Map - five phases like, Project Preparation, Blue print, Realisation, Final preparation and Go-live support. Q: In GL master we have a option "Balance in local currency" and "Account currency".What does it mean? Ans: Account currency is that the GL account in which currency do you want to maintain. if you decided that you want maintain in company code currency, you can post any currency in that account. If not, you want to maintain separate currency for that GL then exchange rate difference will come because the conversion rate. Balance in local currency - some GL account can't be maintain on open item basis and can't in foreign currency like clearing account and discount account etc., in such case you can assign this indicator to show the balance in local currency. plan SKF.

Q. In movement type(MM), what is value & quantity string I know it updates values and quantities in GL with mix of valuvation class, transaction key modifier and GL A/c. But how does it work when doing a mvt type? Ans: Basically, the system does not know which GL has to be updated with what. here, we are giving a direction to the system to update the data. What you said is correct, the system will update the value and qty in the material master. You would have seen some more fields also, like Movement indicator, consumption, value string and transaction event key etc., While creating a PO, the system will take the Movement type as a base, with MT, it will identify the MI(movement indicator - used to define whether it is goods movement for production order, purchase order, delivery note etc), and it will identify the consumption,( like it is assets, or consumption or sales order) and it will identify the value string ( it is must to assigned to movement type, through allocation of value string to movement type, system will automatically identify the GL ) and it will post the entry (dr/cr)in the GL based on the transaction and event key figure which is used to determine the debit and credit entry of a GL SAP Tips by: Elangovan 4. In Field Status Group there are options like Suppress, optional, Required, Display. So that it is followed by so many screens and it is determined by posting key. Its both debit (or) (Both) credit. Questionnaire with Answers for SAP FI What is the difference between company and company code? A company is the organizational unit used in the legal consolidation module to roll up financial statements of several company codes. The Company Code is the smallest organizational ! unit for which a complete selfcontained set of accounts can be drawn up for purposes of external reporting. How many chart of accounts can be attached to a company code? One or more Operative Chart of Accounts can be assigned to a company code. A COA must be aasigned to a company code. This COA is the operative COA and is used in both FI and CO. One Chart of Account can be assigned to many Company codes i.e., Multiple company codes can either share the same or have separate COA. But a company code (Country specific Company code or International Company code) can have a country specific COA also along with Operative COA. The link

between the regular COA and the country COA appears in the alternate number field of the G/L master record. Eg: If a company's subdidiaries are located in both US & Mexico. We need to configure 2 Company codes - one for US and another for Mexico,for eg U100 and M100. The same way we create 2 COA's one for US & one for Mexico, USCA and MXCA. Mexico has different govt reporting requirements than the US so we will need to define a company code specific to Country Mexico and also create a country specific COA to be used, in addition to normal COA. In tcode OBY6(Comp Code Global Parameters) of CC M100 we define normal COA i.e.,USCA in Chart of Accounts field and MXCA in Country Chart/Accts field. What are substitutions and validations? What is the precedent? Validations are used to check settings and return a message if the prerequisite check condition is met. Substitutions are similar to validations; they actually replace and fill in field values behind the scenes without the user¶s knowledge unlike validations that create onscreen msgs to the user. What is a controlling area? The Controlling Area is the central organizational unit within CO module. It is representative of a contained Cost Accounting envt where costs and revenues can be managed. Define relationship between controlling area and company code? A controlling area may include one or more company codes which must use the same operative chart of accounts as the controlling area. A Controlling Area can contain multiple company code assignments but a single company code can be assigned to only one controlling area. What is a fiscal year variant? Fiscal Year is a period of 12 months and SAP provides 4 special periods to posting adjustment Entries. Fiscal year determines posting periods. Posting periods are used to assign business transactions. Fiscal year may be year dependent or year independent. What are special periods used for? The Special periods in a fiscal year variant can be used for things like posting audit or tax adjustments to a closed fiscal year. What do you mean by year dependent in fiscal year variants? Year Dependent: the financial year is same as calendar year. Starting from 1st Jan to 31st Dec (where posting periods and the calendar months are equal)

Year Independent: the financial year is different from calendar year Starting from 1st April to 31st March (where the posting period months are not equal to calendar year months) What are shortened fiscal year? When are they Shortened Fiscal Year: a financial year, which has less than 12 periods. used?

What are posting periods? The Posting period variant controls which posting periods, both normal and special, are open for each company code. It is possible to have a different posting period variant for each company code in the organization. The posting period is independent of the fiscal year variant. What are document types and what are they used for? Document type is the identifier of differentt account transactions like SA for G/L,AA for Asset Accounting etc.The doc. Types controls things like type of the account that can be posted to, the number range assigned to it, and required doc header fields. How are tolerance group for employees used? Tolerance group stores Posting amount defaults. Tolerance groups are assigned to User ID¶s that ensures only authorized persons can make postings. What are posting keys? State the purpose of defining posting keys? Posting keys determine whether a line item entry is a debit or a credit as well as the possible field status for the transaction. Posting keys are SAP delivered. If u want changes like making additional fields optional on payment type posting keys then the best possible action is to copy the posting key that needs to be modified and then modify it. What are field status groups? Field status groups control the additional account assignments and other fields that can be posted at the line item level for a G/L account. SAP Financial Tips by : Komal Questionnaire with Answers for SAP FI Q1-What are adjustment postings and its use? Give t.codes and paths if possible? Answer: fb50,f-02 and others could be used for adjustments. These adjustments are to correct any financial representation that has already been booked into the accounts.

Q2-Suppose I have purchased goods of 10 units(raw materials or semi-finished goods) worth Rs10000 from vendor A (suppose) and also made payment for the same. Now during the manufacturing process, it was observed that 3 units are defective, now my question is how do we deal with the defective units in SAP as I have already made payment for the 10 units(i.e Rs10000). Answer: If you have a GRN against these materials, then the same can be return delivered. An appropriate movement type needs to be configured for the same. As for the payment, raise a credit note on the vendor. * Using Debit Memo you can get the money for defective 3 units. *-- Gnan Eswari Q.3-We always copy company code or we can create manually also? If possible give reasons also. Answer: There are loads of tables that get copied over when copying co codes. This might be incomplete in a manual copy, and hence the manual route is not advisable. Q.4-In case of APP, when bank master data updated? Q.5-Suppose in 2004 I have depreciation key 'AB&in 2005 depreciation key I have changed to"CD". In what way my balances would be affected like balances of depreciation,accumulated depreciation,assets etc. Answer: The difference in the depreciation that is posted already, and what should be posted with historical effect will be posted in the current accounting period. Q.6 How many chart of accounts can be assigned to company code we can assign company code to chart of account through OB62? Now my question is in what way we can assign three types of chart of account to company code in one transaction code (I might be wrong plz correct me) Answer: Three, although the group and country chart of accounts are optional. The group chart of accounts is assigned to the operational chart of accounts, and the only mandatory CoA is the Operational CoA. Q.7 How many financial statement versions can be assigned to co.code? Answer: As many FSVs as you want can be assigned to the co code i.e. 1:n as of Co Code: FSV.

I have created Company Code and all other configuration related to the CCode. Also in MM I have created purchase order, created vendor, material etc. I couldn't activate the PO due to the following error messages in red: 1. MAINTAIN TOLERANCE LIMITS FOR TOLERANCE KEY PE ACCOUNT ASSIGNMENT 2. CONTROL INDICATORS FOR CONTROLLING AREA DO NOT EXIST. I have assigned controlling area to company code and I could see the controlling area in existance via master file and gl verification. 1. MAINTAIN TOLERANCE LIMITS FOR TOLERANCE KEY PE ACCOUNT ASSIGNMENT ----> Please follow this link --> SPRO ---> MM---> Purchasing --> Purchase Order --> Set Tolerance limits for price variance --> Here you have to set for Tolerance keys PE and SE. Just copy them from std co. code. 2. CONTROL INDICATORS FOR CONTROLLING AREA DO NOT EXIST. ---> In Controlling --> General Controlling --> Maintain Controlling Area --> Maintain Controlling Area --> Activate Components/Control Indicators --> You need to check if you want to activate the order management/activity based costing/commitment management etc. Integration of FICO with Other Modules What are the steps for integration of FICO with other modules SD, MM etc. ? Some basic information : FI-MM: The integration between FI-MM happens in T-code OBYC. 1. When PO is created : ---- No Entry ----2. When GR is posted Inventory Account dr (Transaction Key To GRIR account (T.Key WRX in T-code OBYC) 3. When Invoice is posted BSX in OBYC)

Points to know : Movement Types, Assignment of Movement types to T-keys (T-code OMJJ), Value string (I also need some information on this) , OMWN and OMWB transactions. --There is a close integration b/w FI & MM, actually document flows from MM to FI in the following areas such as, 1. Movement Types:

Used to enable the system to find the predefined posting rules determining how the accounts of financial accounting system are to be posted & to update the stock fields in the matrl master data.(Goods Receipt, Goods Issue, etc) 2. Valuation Class:

Assignment of material to grp of gl account, used to determine the gl accounts that are updated as a result of goods movement. 3. Transaction/Event key:

Used to control the storage or filing of documents & assignment of documents.Used to differeniate b/w various transactions such as goods movement tht occur in inventory. 4. Material Type:

Each material should assign mtrl type in mtrl master record used to update whether changes made in qty are updated in material master record & change in value also updated in stock account. FI-SD Integration: The integration is done in T-code VKOA

Points to Know : Good to understand the pricing procedure and how the different transaction keys are used like ERL, ERS etc. Open and Close Posting Periods Define the posting company code variant in SM30 - V_T010O Assign the company code variant in SM30 - V_001_R Maintain the open and close posting period with OB52. You can control period by : 1. G/L number range. 2. Company code. 3. Company code and G/L range.

Now, test your new transaction code ZOB52_000X which will only display the Posting Variant that you have define in your table view. Variants in OB52 to use Multiple Time Zones Is there anyway to configure the posting periods variants in OB52 to use multiple time zones? For example, if the US is one company code can multiple variants be setup for the different time zones? Dawn Tooke In T-code OBBO you can create, if you are need, for every company code a posting period variant which must assign to company code - T-code OBBP. With OB52 you can determine for every posting period variant a posting period for every account type (A,S,D,K,M and +). Important: In FI it is possibile only two period ranges have to be open at the same time, during of the closing procedure, one for posting period of fiscal year (1-12) and one for special posting period (13-16). If my answer it is not sufficient, please give me a example for what you want to say with "to use multiple time zones". Emilia The Last column in OB52 Screen for authorisation group. I think this field can be effectively to restrict the posting by different users situated in different time zones. Of course if a user is travelling from one time zone to other, this option may not work unless authorisation group in his user Id is changed.

Is There an Automatic Program for MMPV By : Sydnie McConnell The client I am working with has an outdated training client. The current posting period right now is November 2004. I have two questions: 1. Does anyone know of a shortcut to get the current posting period updated versus opening each month from Nov. '04 until today. 2. Is there an automatic program that can be set up to change to current period without having to go in manually every month to initiate MMPV. In IMG, you can go to Logistics - General => Material Master => Basic Settings => Maintain Company Codes for Materials Management. You can then enter the periods that you need to have open. As far as running something monthly, if you are working only in one general region of the world, you can run program RMMMPERI from SE38 at 00:01:00 on day 1 of each period. You'll need to create a selection variant with a variable to tell it which period to use. We run into problems with MMPV/RMMMPERI, and have to actually manually schedule it each month. I run it three times - one to open the periods for our Asian plants (at 09:00:00 my time, on the last day of my month), one to open periods for our European plants (at 16:00:00 my time, on the last day of my month), and one to open periods for our US plants (at 00:01:00 my time, on the first day of my month). I've not been able to schedule recurring jobs for the Asian and European plants, because I can't figure out a way to set up a recurrence for the last day of the month. I can do it on day 1, or day 28, or something specific like that, but since the last day of the month can fall on day 28, 30, or 31, I'm not able to do that. Check List for FI Year End Closing 1 Execute Report for InterCompany Activity & Journal Entries 2 Open posting period for next yr 3 Run Business Area's Assignment report. 4 Review list of recurring journal entries 5 Execute Recurring Entries for A/R, A/P, G/L 6 Process Parked A/R, A/P, G/L accounting documents 7 Final Cutoff for the Maintenance of Fixed Asset- Add Transfer and Retire

month. I am setting for 2006-2007. As you know, the FYV should be year dependent, so how can the periods be set up. In IMG go to financial accounting global setting then go to fiscal year variant and set the fiscal year variant on year dependent year and follow the following procedure: 1. enter name of month started from may and end on april 2. enter the number of days in a month you want to close for example in may number of days is 28 instead of 31 3. enter period from 01 to 12 started from may to april 4. enter -1 against the month from jan to april For Example : Month May06 June July Aug Sep Oct Nov Dec Jan07 Feb Mar Apr 31 Number of 28 35 28 28 35 28 28 35 28 28 35 12 Days Period 01 02 03 04 05 06 07 08 09 10 11 -1 Year Shift 0 0 0 0 0 0 0 0 -1 -1 -1

Fiscal Year Varient & Posting Periods Varient What's the relation between between fiscal year varient & posting periods varient. By : Rams Fiscal year variant determines if you are using calendar dependent year or year dependent (where you can create your own periods) eg you want your period 1 to be April period 2 to be May and so on. Posting period determines which period is open. Your company code is tied to a posting period variant. Each posting period variant is tied to an account type (GL, vendor Asset etc) Here you determine if period 1 should be open or period 2 etc. Fiscal year variant and Posting period variant are differentiated based on their purpose. While fiscal year variant is to define no of posting a period allowed and is assigned to co code, posting period variant is to decide which periods can be opened at particular point of time for posting. Separate rules can be defined for each type of account. This is used for control purpose. There isn't relation between Fiscal year variant and Posting period variant. But there is relation between Fical year and Posting Periods. Fiscal year structure contains posting periods. For each posting period we have specified day end. To process business transactions these posting periods must be in open status. You can open all the posting periods (or) you can restrict the posting periods by Account Type wise and Account No wise and Authorization group wise. To restrict the posting periods by Account Types wise first you need to open the posting periods for all Account Types (³+´ symbol). Whether fiscal year is defined only at once or it is defined for each year. This depends upon the client requirement. Generally Fiscal year will be defined once. But in some cases (where business will run for certain period means business will run for 6 months or 8 months) evry year they will define fiscal year. Independent Fiscal Year: In any year the starting period and ending period will be same and same posting periods for continues years. It is called as INDEPENDANT F.Y.

Dependant Fiscal Year: In any year the starting period and ending period may be different (or) if you have less than 12months, that fiscal year must be define as a DEPENDANT FISCAL YEAR (or) SHORT END FISCAL YEAR. SAP Chart of Account It defines the structure of G/L accounts. It is a list of G/L accounts used by one or more company codes. In that Chart of account you have to specify the length of G/L accounts. In SAP all the entries are document oriented. so from the balance sheet of any entry you can identify the root of an entry. so it's like a flow chart in computer terms. There are threee types of Chart of Account are there. 1.Operative Chart 2.Group of 3.Country Chart of Accounts. of Chart of Accounts Accounts

1.Operative Chart of Accounts is a Chart of Account you use for the company code. 2.For different chart of accounts(operative COA) for different company code, you can group the chart of account into one chart of account for internal reporting, but cross company code controlling is not possible, because of different chart of account for different company code. 3.For different country you can have different reporting system. so for different company code you can have different company code, but can have same Operative Chart of account, so cross company code controlling is possible. Tips by : Jayaraman What is the difference between standard chart of accounts and the operating chart of accounts? What is the difference between Corporate group chart of accounts, Operating chart of accounts and Group chart of accounts? To summarise, here is the COA setup in SAP:1. Operative chart of account - It is the main chart of account assigned to each company code in OBY6.

2. Group chart of accounts - This is structured in accordance with requirements pertaining to Consolidation 3. Country-specific charts of accounts - These are structured in accordance with legal requirements of the country in question. Standard COA is a sample COAs provided by SAP. like INT, CAUS etc. You can use them as your operative COA or can create your own operative COA from these standard COA. Corporate Group COA is same as Group COA. Cost Elements not created for General Ledger Accounts How can I find out the GL accounts of Profit & Loss type for which Cost Elements have not been created? Is there a standard report to throw these exceptions? What is the best control to ensure that cost element is created for all expense accounts in GL? Well, the first thing that comes to mind is just download the GL Accounts, download Cost Elements and do a quick VLookup in Excel. That will tell you. That'll take you about 5 minutes or so. or You OKB2; OKB3; SM35 could try this respective transactions: and

To prevent creating of GL P&L items without creating the cost elements on 4.6 / 4.7 there is an option to allow the automatic creation of Cost Elements whenever a G/L account is created in a Company Code. i.e. It does not create when an account is created at the Chart of Accounts Level, only when it is created in a Company Code. To do this; // Financial Accounting // General ledger Accounting // G/L Accounts // Master Records // Preparations // Edit Chart of Accounts List // Select the Chart of Accounts then; Integration // Controlling Integration // then I'll let you guess.

Also, you need to specify within controlling which account ranges should be created under which Cost Element Category; // Controlling // Cost Element Accounting // Master Data // Cost Elements // Automatic Creation of Primary and Secondary Cost Elements // *.* If this was configured, you could also create a batch file now that would catch up with any cost elements not yet created. What is GL At Company Level and Chart of Accounts Please explain what is meant by general ledger at company code level and chart of accounts level? General Ledger has two segments i.e., 1. Chart of Accounts 2. Company Code Data (T.Code =FSSO) Data (T.Code= FSPO)and

GL account master records are divided into two areas to that company code with the same chart of account can use the same GL account. The chart of account area contains the data valid for all company codes, such as Account Number. The Company code specific area contains data that may vary from one company code to another, such as the currency in which the account may be posted. Lets, suppose there are not segment both the segments are combined, at that time it will become difficult to copy the Company Code data because the fields may vary in company code. for example Currency, though you have same Chart of Account Data. Because, GL Accounts has two segments, it will be easy to copy Chart of Accounts data from A company code which matches your requirement and Company Code data of B Company code and you can create a separate chart of account in C company code. To copy Chart of account data and Company code data seperately, see Alternative method of creating GL Master in IMG screen. Change Reconciliation Account of Customer Master There is no problem to change the account number in the vendor or customer master data, that is :

All Document Items that were created in the old account will be posted in the same old account when you have a payment posting, compensations, etc. All document created after the change will be posted in the new account as well as the payment postings, compensations and others. The system will separate the postings in accordance with the moment at the documents were created. You can do a test in the development client before you do the change in the production. For example :You can create a new reconciliation account because you want the G/L accounts to separate out sales. Just switched the setting in Customer Master and off you go. SAP will recognized the old account for the old postings and used the new account for any new postings. Here is the official SAP help on the subject:You should run balance sheet adjustment program after any reconciliation account change. The system performs any adjustments required due to the change of reconciliation accounts or G/L accounts. The items from the old reconciliation accounts are allocated to the new accounts. Since you cannot post to the reconciliation accounts directly, the postings are made to temporary adjustment accounts. These adjustment accounts should be displayed along with the relevant reconciliation account in the balance sheet. The postings are then reversed after the balance sheet has been created. The program for sorting the payables and receivables makes the necessary adjustments automatically. This means that you have to define the adjustment account numbers and the posting keys for these postings in the system. If you purchase and install the FI-LC Consolidation application and have bought up a previous customer or vendor (thus also taking on his/her payables and receivables), please refer to the note in the report documentation on changed reconciliation

accounts. To define the account numbers, select the activity Define adjustment accounts for changed reconciliation accounts in the Accounts Receivable and Accounts Payable Implementation Guide. You should only run this program if your new reconciliation account is classified differently from the original in your FS. e.g.. AR to Intercompany accounts. It will just reclassify the existing balance. The line items will not be transferred. If not then no need to run the program at all. How to Configure FICO Reconciliation In Co, we create Recon accts to keep Fi gl in balance with CO. Not all transactions affect FI gls, best example of it is internal order settlements, they use secondary cost elements and does not affect your G/l accts. To update FI side of it we maintain recon accts. These are primarily for cross company, cross functional and cross business area transactions. The number of recon accts to be defined is dependant on various factors, like how your management wants to see the reports.. whether they want to classify the cost based on CO object class or by Co types etc.. However the basic config you got to follow is: 1. Activate Recon accts (if you have created CO area newly, it would be active). use T.code: KALA 2. Assignment of T.code: OKKP Recon document type to the Controlling area.

3. Creating clearing accts (that you want to us! e for reconciliation. During FI-Co recon.. inter company clearing accounts will be automatically credited or debited and now you need to create offset acct which will show up in P&l acct). Acct determination set up thru T.code: OBYA 4. 5. Maintain T.code OBYB accts Number for ranges Automatic to Recon Recon posting. activity. *-Radha

Assign Tcode OK13 Krishna

Without creating of reconciliation account, can you create vendor? What is the use of reconciliation? Customer and vendor accounts are sub ledger GL's. We will have to create two reconciliation GLs in viz. Reconciliation GL for Customer and Vendor in chart of accounts. After, while creating customer and vendor master records, we have to mention respective reconciliation GL in their company code segment details. This recon a/c will show you the net balances in GL for customer and vendor a/cs. Without creating Vendor you can still create individual GL for each customer and vendor , but then 1) Your list of GL's in chart of account will be very lengthy. 2) Duplication of work as SD/ MM people are also required to create their own list. 3) Cross company code consolidation will not be possible as the chart of accounts will be different. 4) Very difficult to keep track of individual customer/ vendor a/cs. 5) Not advisable even in real time accounting system i.e. manual book keeping. *- Mahajan Step-by-Step Procedure for Customizing an Electronic Bank Reconciliation Statement To set up Electronic Bank Statements (EBS) Processing in SAP for most customers in North America. 1. Create House Bank and Account ID (FI12) 2. Setup EDI Partner Profile for FINSTA Message Type (WE20) 3. Configure Global Settings for EBS (IMG) Create Account Symbols Assign Accounts to Account Symbols Create Keys for Posting Rules Define Posting Rules Create Transaction Types Assign External Transaction Types to Posting Rules - Assign Bank Accounts to Transaction Types

4.

Define - Search String Use

Search Search

String

for String

EBS(Optional) Definition

5. Define Program and Variant Selection Additional information is also available in the SAP Library under: Financial Accounting > Bank Accounting (FI-BL) > Electronic Bank Statement > Electronic Account Statement Customizing. SAP FI Tips by: Ramesh Bank Reconcilliation Statement The following are the steps for BRS: Create Bank Master Data - This can be created through T.Code FI01 or you can also create the house bank through IMG/FA/Bank accounting/Bank account 2. Define House Bank 3. Set up Bank selection payment programe- IMG/FA/ARAP/BT/AUTOIP/PM/Bank selection for payment prg. a. setup all co codes for payment transaction - Customer and vendors b.setup paying co codes for payment transactions c.setup payment method per country d.setup payment method per co code for payment transaction e.setup bank determination for payment transaction Please go for Cheque mangement using T code FCHI (IMG/FA/ARAP/BT/OP/AutoOp/PaymentMedia/CheckManagement) and for void reasons FCHV. You can create Bank Reconcilliation statement by TC FF67 (SAP/AC/Treasury/CashManagement/Incomings/ManualBankStatement) . Don't forget to keep the opening Balance as zero. Use FBEA for post process. All the steps together will lead to (FF67) Bank reconciliation statement. Explain Reconciliation Between FI Books & CO Books

What is Reconciliation Ledger? The purpose of Recon Ledger is to display the summarized balances of cost ledger. It is a ledger used for summarized display of values that appear in more detailed form in the transaction form. It has the following functions: 1) Reconciles controlling with Financial accounting. a) The recon ledger provide the reports for monitoring the reco of CO with FI by accounts. b) It can identify & display value flows in Controlling across Company codes, functional area or business area boundaries. c) Value flows can be used in FI as a basis for summarized reco. postings. 2) Provides an overview of all costs incurred. Updation of Recon ledger can be done online or periodically. To update online, you need to activate the recon ledger. For periodical updation, proceed as follows : a) During month end, activate the recon ledger. (T Code-KALA) b) Do follow up postings. c) Deactivate the Recon ledger. (T Code-KALB). RECONCILIATION LEDGER EXAMPLE 1 When you need to drill back from the FI G/L to find which cost center was Posted to on an expense account, the reconciliation ledger is accessed. The need to have a CO to FI reconciliation process is a result of cross company Code, cross-business area, or cross functional area activity that may occur in the CO module. Order settlement or confirmation, cost center assessment, or other internal CO movement may initiate these postings. When costs moved internally within CO, the FI G/L is not updated because of CO use of secondary Cost elements to facilitate the postings. The first two steps in reconciliation ledger configuration are to activate the Ledger within the controlling area and assign a document type. If you have an Existing controlling area that does not have the reconciliation ledger activated. Activate the reconciliation ledger: Controlling -> Overhead Cost Controlling -> Cost and Revenue Element -> Accounting -> Reconciliation Ledger -> Activate Reconciliation Ledger (KALA) RECONCILIATION LEDGER EXAMPLE 2

A good receipt posting of Rs.100 has occurred on internal order 1, which is assigned to company code One hundred percent of the value of internal order No.1 is settled to internal order 2. Which is assigned to company code 2. A Settlement cost element is used for the settlement posting. When an order Settlement is run, internal order 1 is credited with Rs.100 and internal order 2 is debited with Rs.100. The balances of internal order 1 and internal order 2 are 0 and Rs.100, respectively. However, the balances of company code 1 and 2 remain as they were prior to settlement. The reason: settlement activity was internal to CO. No FI update occurred. To place the FI company codes back in balance, the CO-FI reconciliation posting transaction should be run. The resulting FI postings would credit company code 1 for Rs.100 and debit company code 2 for Rs.100. The internal CO activity will now have been accounted for in FI and company codes are now in balance. Document flow confusion in SAP FI I have a problem understanding basic things like how a document flows in the Sap system. When posting a customer invoice the subledger will be debited with that amount, now my confusion is will the same amount be posted to the G/L only or the very same amount will also be posted to the reconciliation general ledger - making 3 postings or The recon acc is the G/L . I don't see 3 postings happening because then 2 debits will be Posted against one debit -please clarify me on this. Also the different between the G/L, Special ledgers and the recon acc is not clear to me. Customer and Vendor accounts are maintained in a subledger. Posting to these accounts will also be posted to the A/R and A/P reconciliation accounts. All Reconciliation accouints are GL accounts. All G/L accounts are not reconciliation accounts. Why is this done? In large businesses, there will be hundreds/thousands of customers/vendors. All these are personalaccounts (there are three types of accounts: nominal, personal and real).

These personal accounts are grouped in to sub-ledgers and any posting to them is reconciled to the G/L via the reconciliation accounts. Prakash For fulfilling completing the double entry system accounting the Reconciliation accounts i.e., Accounts Receivable and Accounts Payable are used. All the Vendors are grouped under Acounts Payable & Customers are grouped under Accounts Receivable. And also always any time the balance in reconciliation account shows as zero. Ex: Vendors transaction: For Invoice posting: Inventory A/c Dr To Vendor A/c................Accounts Payable A/c (Reconciliation Ledger) (In SAP since we are linking in the G/L Master Accounts Payable with the Reconciliation Accounts type setting as Vendors. Hence, with one entry 3 Accounts are automatically updated) Accounts Payable is Liability & Inventory is Current Assets. For Payment to Vendor: Vendor A/c Dr.....Accounts Payable A/c To Bank/ Cash A/c Transaction: Sales Invoice Posting: Dr...Accounts Receivable A/c (Reconciliation A/c) To Sales A/c Receipt To Bank Customer A/c A/c...........Accounts Posting: Dr Receivable A/c Customer 1)

Ashok These are basic accounting differentiation for different types of accoutns. This is a basic accounting concept and is not specifically mentioned anywhere in SAP terminology. Personal accounts: Accounts in the name of individuals, organizations etc. For example, Company A A/c, XYZ limited co A/C, Suresh A/C, Indian Bank A/C etc Real Accounts: These are accounts related to assets, both real example, furniture a/c, machinery a/c, accounts receivables a/c etc Nominal Accounts: These are related to incomes/expenditures for example, sales A/c, salary a/c etc I hope this clears your doubts What is "Real Time" Integration? What is "real time integration" advantage of SAP? What is the Config for Integration entry? How these entries get formulated in backend? Real time integration is nothing but the data posting to all the affected areas instantly when an activity is performed. For E.g. When you do a FI-SD integration, when a PGI is posted, the following entry is affected : 1. Cost of To Inventory Account Cr Goods 100 Sold Dr 100 and profit/losses. and tangible.

Here the Cost of Goods Sold is an FI entry and Inventory Account related to MM but both of them gets affected immediately when you post a PGI in SD. The updation of these entries when PGI is done is called Real Time Integration. The affect is shown in all FI, MM and SD modules once you save the entry. The configuration for the below entry is done in OBYC 1. Cost of Goods Sold Dr To Inventory Account Cr 100 (T-Key BSX) 100 (T-Key GBB)

The automatic entries are posted to inventory accounts through T-keys to which GL accounts are assigned. These T-keys are assigned to movement types in MM. Please refer to T-code OMWN and OMWB for proper understanding. Configuration for Special Purpose Ledger AP FI Why do we use special What are the configurations we need to make? purpose Question: ledger?

What is the main purpose of this document. Why we are using this one to in FI? How it is useful? Parking documents is used when we need to get any clarification regarding some account. We can temporarily park or store this document till we get it cleared or approved. Then we can post it. Remember.... parking does not update the accounts....... it just stores the document..... whereas posting will update the accounts....( for example.... the reducing/increasing of the account balances). The TC for Parking Documents is F-02 -> enter the required details ->go to the menu (at top ) ->Document-> Park. To post a parked document : FBV0-> go to the menu Document-> Post. Other TCs used pertaining to Parking of Documents are : FV50 : Post FBV2 FBV3 FBV4 FBV5 FBV6 : Refuse SAP FI / : : Tips by Delete : : Change Display : Viji : Single Screen Transaction Change Display Header Changes Balakrishnan

F-63 Park Document - Only transfer amounts in document curr. in invoice In F-63, there is a checkbox "Only transfer amnts in document curr. invoice", may I know what is the purpose of this checkbox & under what circumstances we will use this checkbox. "Only transfer amounts in document curr. in invoice" If we sets this indicator it translates the doc. currency into local currency at the time of parked document.

If we not set this indicator it translates the doc. currency into local currency when posting of document. Eg: We are parking a document with doc. currency in USD @40- the next day we are posted that document then it is @42- the system takes the exchange rate from the header which was specified in the parked document @40- only. If we not set this indicator it will take at the time of posting of document @42Difference between Posting Key and Field Status Variant What is the use of Field Status Variant. Why it is required? What is the difference between "Posting Key Variant and Field Status Variant". Why both the things are required to define as both control the fields. What specific fields are controlled this fields. 'Posting Key Variant ' Controls- fields of Posting Key and 'Field Status Variant' controls fields of G/L Account.Fields of G/L Account which are controlled by FSV can see in T.Code OBC4 and Fields of Posting Keys in SPRO-FAGS-Document- Line Item. Both can controls common fields, then SAP applies 'SDRO' rule. SDRO rule. The fields can be Suppressed, Displayed, Required, Optional. Posting is which type of accounts whether the line item - and the field status of the document line item key can is be debit controls posted to or credit

Where as FSG (group into Field status Variant) controls only the the document line item for that account. There are - Optional only three field status options during document entry: Suppressed Required

If both Posting key and FSV has the same field as Required and optional, system uses the link rules, takes the one which has the highest priority(in this case required). But in case of Master record Field status which is controlled by Account Group, there are 4 options of field status: Suppressed

- Optional

Display Required

Account group defines: a. length of gl account number b. no. ranges of the gl account numbers c. field status of the GL account master data in the company code segment.(which fields to appear when you create a gl account) (to control...double click on your GL account group in Screen transaction code OBD4) Posting key defines: a. whether the line item is a debit or credit b. to which type of account the amount should be posted to(ex: when you use posting key 40, you will be able to post to gl accounts. When you use Posting key 01, you will be only able to post to customer account. c. document screen layout during posting of a document. (which fields to appear in a document...double click on the posting key and select field status and make the entries as required /optional etc) Field status group defines: Document screen layout during posting of a document. (which fields to appear in a document...double click on the field status group and select fields and make the entries as required /optional etc) LOGIC: you assign field status variant to the company code, FSV is a bundle of field status groups. ex: in FSG G001 you have made the text as required entry...you assigned the field status group g001 to cash account..so when you use cash account and try to post a document it will definitely prompt you to enter the text (text made as required.) Both FSG and PK control the same feilds in a document.There is no dominance between FSG and Posting keys..but we should know the allowed combinations.... If text is made required in PK and suppressed in FSG..the system will issue a error msg..Rules for PK...and FSG....is set incorrectly for SGTXT field. Permissable combinations: Pk R/S O/S R/o R S O

What is Debit note and Credit note? Debit Memo - It is a sales document used in complaints processing to request a debit memo for a customer. If the prices calculated for the customer were too low, for example, calculated with the wrong scaled prices, you can create a debit memo request. The debit memo request can be blocked so that it can be checked. When it has been approved, you can remove the block. It is like a standard order. The system uses the debit memo request to create a debit memo. Credit Memo - A transaction that reduces Amounts Receivable from a customer is a credit memo. For eg. The customer could return damaged goods. A debit memo is a transaction that reduces Amounts Payable to a vendor because, you send damaged goods back to your vendor. Credit memo request is a sales document used in complaints processing to request a credit memo for a customer. If the price calculated for the customer is too high, for example, because the wrong scale prices were used or a discount was forgotten, you can create a credit memo request. The credit memo request is blocked for further processing so that it can be checked. If the request is approved, you can remove the block. The system uses the credit memo request to create a credit memo. As mentioned above, creating a credit or debit memo request enables you to create credit or debit memos based on a complaint. For this first create a sales document with the order type for a credit or debit memo request. You can create the debit or credit memo requests in the following ways: ± Without reference to an order ± With reference to an existing order Here you enter which order the complaint refers to. ± With reference to an invoice Here you enter which invoice the complaint refers to. In all cases, you specify the value or quantity that should be in the credit or debit memo You can block the credit or debit memo request from being billed in Customizing. Go to Sales -> Sales Documents -> Sales document header -> Define sales document type and select the billing block field in the billing section. This request can later be reviewed along with similar ones, - if necessary, by another department. The request for a credit or debit memo can then be approved or rejected. To create Credit / Debit Memo request: - Use the same procedure that you use for Creating Sales Orders i.d T Code VA01 - Give Order Type as CR for Credit Memo and DR for Debit Memo reuest

While creating the request you have to enter Customer Number, Reason for the request. and Material and its quantity. Once the credit or debit memo request is released you can create credit or debit memo. The credit memo request will be automatically blocked for checking with Billing Block 08 (to check credit memo) & 09 (to check debit memo) for the sales order type ³CR´ . If it is not so you can customize the block for credit memo requests in Customizing for SD when you define the order type Sales and Distribution -> Sales -> Sales Documents -> Sales Document Header -> Define sales document types. The release of block is allowed to be removed only by the people who are authorized for it. If the amount is within acceptable limit the block is automatically released otherwise all the people assigned to this job receive a work item in their integrated inbox for release. If the complaint is not automatically blocked by the settings in Customizing, you can set a delivery or billing block manually. Logistics -> Sales and distribution -> Sales. Choose Order -> Change. - Enter the number of the sales document, or use a matchcode to search for it. Choose Enter. If all the items have been blocked, choose Select all. - If only some items should be blocked, select the corresponding items. - Choose Edit -> Fast change of... -> Delivery block or Billing block. - Enter the delivery or billing block for the header or individual items. Choose Copy. - The system copies (or deletes) the delivery or billing block in all the selected items. - Save your document Sample Account Assignment in G/L Account Where do we specify the sample account in FS00. I created a sample account for all expense accounts to use a particular field status group. Now I want to specify that sample account while creating g/l accounts. how do I do that? We define Sample account at OB15 and the path is SAP Ref: IMG\Financial Accounting\GLAccounting\GLAccounts\MasterRecords\Preparations\Additional Activities\Sample Accounts Step1: Maintain List of Rules types In this step you just create a code for your Sample Account

In this step you define the data tranfer rule i.e., whether it can be editable or only display etc after a Master recored is created with Sample Account. Selects the fields that you want to transfer (check boxes)and can be changed and can't be changed etc., then save. Step 3: Assign Company Code to Rule Type In this step you will assign your sample account to your company code. Just select your company and select your Sample account and assing then save. Step 4: Create Sample Account. FSM1 Now create Sample Account same as you create at FS00, then Save. Now Sample account is created. Now you can find Sample account field in FS00 (if you assign it company code it won't be displayed) enter Sample account no, and press enter all the fiels that you have selected in Step 2 will be copied (transferred) accrding the the rule (checkboxes) you have selected there. At Tcode FS00 At FS00 you can see/Edit/Create a GL Master Record which is maintained by the Company Code. Where as Sample Account is not GL Master Record but it is a set of settings/rules which are easily available to create a GL Master Record (understand this point clearly) This sample account does not hold your transaction data nor you can edit or view at FS00. To use your Sample Account: 1. Go to FS00, give a GL account no (other than Sample account no ofcourse). Select create 2. Then check all fields, whether any field is filled like Currency, Open Item Management, etc *for your confirmation* (obviously every field is empty) 3. Now enter Sample Account no in Sample Account field and give Account Group. press Enter. U will get a message that "Data from changed Sample account was accepted", check data.

4. Now chek all fields again. Now u will find some fields filled with values which you have defined in Data Transfer Rules while creating Sample Account. Configuration Steps For Preparation of GL A/C Explain the steps for the creation of GL Account. By : Naidu Check all the configuration steps for preparation of GL a/c: 1. Define company T.code ox15 (its is necessary for consolidation purpose) 2. Define Company code t.code ox02 3. Assign company code to company t.code ox16 4. Edit chart of account t.code ob13 5. Assign company code to chart of account t.code ob62 6. Maintain fiscal year variant t.code ob29 7. Assign company code to fiscal year variant t.code ob37 8. Define posting period variant t.code obbo 9. Open and close posting period t.code ob52 10. Assign posting period variant to company code t.code obbp 11. Define document type and number range t.code oba7 12. Define field status variant t.code obc4 13. Assign company code to field status variant Go to SPRO --> Financial accouting -> Global settings --> Select your company code and double click. You can see the field status variant field there.

What Is New General Ledger Accounting ERP In SAP ==> SAP FICO Tell me Explain to me what is new G/L? about new G/L?

General Ledger Accounting (FI-GL) (New) The central task of G/L accounting is to provide a comprehensive picture of external accounting and accounts. Recording all business transactions (primary postings as well as settlements from internal accounting) in a software system that is fully integrated with all the other operational areas of a company ensures that the accounting data is always complete and accurate. Beyond fulfilling the legal requirements, General Ledger Accounting also fulfills other requirements for modern accounting: - Parallel Accounting General Ledger Accounting allows you to perform parallel accounting by managing several parallel ledgers for different accounting principles. - Integration of Legal and Management Reporting In General Ledger Accounting, you can perform internal management reporting in parallel with legal reporting. For this purpose, the Profit Center Accounting functions are integrated with General Ledger Accounting. Furthermore, you can generate financial statements for any dimension (such as profit center). - Segment Reporting General Ledger Accounting supports the segment reports required by the accounting principles IFRS (International Financial Reporting Standards) and US GAAP (Generally Accepted Accounting Principles). For this purpose, General Ledger Accounting contains the Segment dimension. - Cost of Sales Accounting

You can perform cost of sales accounting in General Ledger Accounting. For this purpose, General Ledger Accounting contains the Functional Area dimension. Features General Ledger Accounting comprises the following functions for entering and evaluating posting data: - Choice between group level or company level - Automatic and simultaneous posting of all subledger items in the appropriate general ledger accounts (reconciliation accounts) - Simultaneous updating of the parallel general ledgers and of the cost accounting areas - Real-time evaluation of and reporting on current posting data, in the form of account displays, financial statements with different balance sheet versions, and additional analyses. In this way, General Ledger Accounting automatically serves as a complete record of all business transactions. It is the central and up-to-date component for reporting. Individual transactions can be checked at any time in real time by displaying the original documents, line items, and monthly debits and credits at various levels such as: - Account information - Journals - Totals/transaction figures - Balance sheet/profit and loss evaluations However, SAP still offers to choose between the New GL and the old Classic GL way of accounting. There are certain limitations in the new GL and clients are adopting to the new gl concept.

Document Splitting Feature Available in New General Ledger What are the splitting feature available in New General Ledger which is available from the version ECC5.00 onwards? By: Manjeera Information on Document Splitting You can use the document splitting procedure to split up line items for selected dimensions (such as receivable lines by profit center) or to effect a zero balance setting in the document for selected dimensions (such as segment). This generates additional clearing lines in the document. Using the document splitting procedure ensures that you can draw up complete financial statements for the selected dimensions at any time. You can choose between displaying the document with the generated clearing lines either in its original form in the entry view or from the perspective of a ledger in the general ledger view. For document splitting to be possible, the individual document items and the documents must be classified. Each classification corresponds to a rule in which it is specified how document splitting is to occur and for which line items. SAP delivers a set of standard rules that should usually prove sufficient. If not, you can define your own set of rules and adapt these according to your needs. Example 1: Suppose a vendor invoice containing the following items is entered: Posting 31 40 Expense Key Account Payables Expense 0002 60 Segment 0001 Invoice Amount -100 40

Unplanned and Plan Delivery Costs In Stock and G/L Account 1) If I maintain freight in condition FRA1 or FRA2 or in info record, then subsequently if I choose planned delivery cost in miro, it will show, correct? Ans: Yes. Planned delivery cost --- Maintain FRA1 and FRA2 in PO Details with same or different vendor. Select Goods receipt/service +planned delivery 2) Planned delivery cost in miro only show freight? What about other cost? Ans: If you want to see other costs, then choose Goods items+planned delivery costs 3) What is unplanned delivery cost and where to define? Ans: In MIRO, after entering PO as a reference, choose delivery tab in header and enter any unplanned delivery costs amount in the field Unplanned dely costs. You can customize to post the unplanned dely costs to separate G/L Account or stock account. Enter MIRO --Header details ----Enter unplanned delivery cost.

--Planned delivery costs, if you want to capture for different vendor in PO than go to Conditions in item level, select the delivery condition to be captured and go to condition detail wherein you can mention different vendor to capture delivery cost,, In MIRO Transaction Select Delivery tab. If you are posting the Delivery costs & Other costs as Unplanned delivery cost. Unplanned delivery costs are posted in a separate line. You must enter a specific tax code for the posting. Maintain in MIRO ---Transaction Enter unplanned delivery cost. While doing MIRO, in the header ( details tab ) there is a field for Unplanned delivery cost ( Unpl. Del. Csts ). Here you can enter extra delivery charges that are not in the conditions on the Purchase Order. --Unplanned delivery costs are delivery costs that were not specified in the purchase order and are only entered when you enter the invoice. They are posted in exactly the same manner as subsequent debits/credits. For a material subject to moving average price control, unplanned delivery costs are posted to the stock account, provided that there is sufficient stock coverage. For a material subject to standard price control, unplanned delivery costs are posted to a price difference account. Unplanned delivery costs were not agreed on in the purchase order and are not entered until the invoice is received. You can enter the unplanned delivery costs in the invoice document alongside the costs incurred. You can post unplanned delivery costs as follows: Distribute them prorated to calculated invoice items Post them to separate G/L accounts You can use the Business Add-In MRM_UDC_DISTRIBUTE to define your own rules for distributing unplanned delivery costs. For more information, see the documentation for the Business Add-In

You want to distribute unplanned delivery costs prorated when you post the document. - (Incoming Invoice-- Posting Unplanned Delivery Costs). You want to post unplanned delivery costs to a separate G/L account. - Incoming Invoice ® Maintain Default Values for Tax Codes. Planned costs are costs which are entered directly in the PO. Planned delivery costs are agreed upon with the vendor, a carrier, or a customs office before the purchase order is created. You enter them in the purchase order. Planned delivery costs can be differentiated as follows:
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What is the difference between open item and open item management? Open item: open item is an item which has to be cleared with another line item. Open item management: how you want to manage all the open item in particular GL A/C. Open item management is the setting which allows the setting to maintain the open items for the particular GL account. Use of open item : Processing open items involves choosing and then activating the open items. Processing is the last step before posting a clearing document. When posting clearing documents, the system takes tolerances into account. Tolerances are acceptable payment differences. When the line item(s) you enter and the open item(s) you process have been cleared, you can post a clearing document. For example, if you enter a vendor payment for $1000, you must choose and process vendor open items that equal $1000. If your system permits a 1% tolerance, then you can clear open items with a value from $990 to $1010. When you process open items, you can: Activate or deactivate open items Activate or deactivate cash discount

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Maintain cash discount amounts - Enter partial payments or residual items Activate the open items to be cleared. To process open items, on the screen for selecting open items, choose Goto --> Open items. You can process open items using the following: Menus or function keys Commands - Mouse To clear open items with commands or with the mouse, you select and process an item in one step. Use of open item management Defining "Open Item Management" If you set the "Open item management" indicator in the master record for an account, the line items in this account is marked as open or cleared. The balance of an account with open item management is equal to the balance of the open items. General ledger accounts are kept with open item management if you need to check whether there is an offsetting posting for a given business transaction. You should use open item management for bank clearing accounts, clearing accounts for goods receipt/invoice receipt, and salary clearing accounts. Bank accounts, however, do not use open item management. If you subsequently define open item management for a G/L account, this entry only applies to the items which are posted afterwards. At the date of the change, the account must display a zero balance. Also, when canceling this indicator, the balance must be zero. You therefore have to clear the remaining open items before making the change in the master record. Open item Take an example of misc. purchases. When you purchase from vendor you pass the following entry. Dr. Material / Expenses A/c. Cr. Vendor account (if it is credit purchase) Now the vendor account is showing credit balance till you make payment to the vendor. This in SAP they call is open item. While making payment Dr. Vendor account Cr. Cash / Bank account If once you make the payment to vendor, while making the payment to the vendor, you need to link the payment with lying open item of above purchase. System automatically changes the status of above open item (red colour ball) to cleared item (green colour ball) in the vendor account.

G/L Open Item Management
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I have situation where the GR/IR account was created without open item managed. Now they want to make it open item but account has line items / values. It been in use for almost a year. Now that they are reconciling it end of fiscal year and they find a mess with account and wants to get this open item management fixed in GR/IR account for the future. Have tried a few option, but the system pops error message telling either " Clear or transfer all open items". There are 10,000 line items in a/c. How can we transfer this line item to new account. Is there any other option to make it open item. Answer: For old line items, you can't enter. Before changing the account master for open line item management the account balance should be 0 (ZERO). You can try doing the following: 1. Pass one JV transferring the balance to some suspense account. 2. By doing above the balance will become 0 (zero). So change the account master & tick on Open line item management. 3. Again pass the reversal entry of the first one. For doing the above, you may have to first remove the tick of automatic line item.

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Please follow this steps to setup G/L Open Item Management: Any GL account has a balance standard SAP will not allow to change status to open item managed, if the GL account is not an open item managed earlier. "Z" Program (ZRFSEPA02) will make it an open item managed. We have created an OSS Message and SAP told us to copy RFSEPA02 to Z program (ZRFSEPA02) and Follow the steps to enable Open Item Management for GL accounts. Step # 1 Create a Dummy or Temporary clearing account to move balance from clearing accounts. Use T.code FS01 Step # 2 Move balance from clearing account (Ex: 113073) to Dummy account. Post a journal entry using T.code F-02 or FB50.

Provide the information & examples of how to create general ledger account & its groups? By: Dasharathi Bejugama The central task of G/L accounting is to provide a comprehensive picture for external accounting and accounts. Recording all business transactions (primary postings as well as settlements from internal accounting) in a software system that is fully integrated with all the other operational areas of a company ensures that the accounting data is always complete and accurate. Before creating the B/L u have to design the Chart of Accounts (COA): COA is a list of all G/L accounts used by one or several company codes. For each G/L account, the chart of accounts contains the account number, account name, and the information that controls how an account functions and how a G/L account is created in a company code. You have to assign a chart of accounts to each company code. This chart of accounts is the operating chart of accounts and is used for the daily postings in this company code.

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You have the following options when using multiple company codes: You can use the same chart of accounts for all company codes If the company codes all have the same requirements for the chart of accounts set up, assign all of the individual company codes to the same chart of accounts. This could be the case if all company codes are in the same country. In addition to the operating chart of accounts, you can use two additional charts of accounts If the individual company codes need different charts of accounts, you can assign up to two charts of accounts in addition to the operating chart of accounts. This could be the case if company codes lie in multiple countries. The use of different charts of accounts has no effect on the balance sheet and profit and loss statement. When creating the balance sheet or the profit and loss statement, you can choose whether to balance the company codes which use different charts of accounts together or separately. Charts of accounts can have three different functions in the system: Operating chart of accounts: The operating chart of accounts contains the G/L accounts that you use for posting in your company code during daily activities. Financial Accounting and Controlling both use this chart of accounts. You have to assign an operating chart of accounts to a company code. Group chart of accounts: The group chart of accounts contains the G/L accounts that are used by the entire corporate group. This allows the company to provide reports for the entire corporate group. The assigning of an corporate group chart of accounts to a company code is optional. Country-specific chart of accounts: The country-specific chart of accounts contains the G/L accounts needed to meet the country's legal requirements. This allows you to provide statements for the country's legal requirements. The assigning of an country-specific chart of accounts to a company code is optional. You can find the function for creating G/L account master records in Financial Accounting Customizing under General Ledger Accounting -> G/L Accounts > Master Data -> Creating G/L Accounts. Create your G/L accounts. You have two options: If you want to use a chart of accounts included in the standard system as a reference, or if a chart of accounts is already in your system, use the create with reference method. To do this, use the Create G/L Accounts with Reference activity.

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You can copy the G/L accounts and the related account assignments. Before creating the G/L accounts, you can change the account numbers and names. If you have G/L accounts in a non-SAP system, you can transfer these G/L accounts to your SAP System. To do so, select the Data Transfer Workbench. You can modify the G/L account master records that were created or transferred. The following functions are available for doing this: You can carry out systematic changes to multiple G/L accounts, such as changing the P&L account type of several P&L accounts. To do so, select the desired function under Change G/L Accounts Collectively. You can change the master record of a single G/L account. To do so, select the desired function under Edit G/L Account. Various Steps To Configure Dunning

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What is dunning program? Dunning is nothing but

payment

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collection

remainder.

The SAP Financial Accounting component is delivered with the dunning procedure and all further specifications for dunning. Check whether you can use the predefined settings or whether you have to make changes. Assign the required dunning procedures and areas (if used) required to your business partners. The most important thing that differentiates the dunning levels is the dunning texts. The dunning text defines the urgency of the dunning notice. The other things can be the dunning charges, minimum & maximum amounts etc. Maximum no. of dunning levels is 9 levels. How to Configure Dunning? The dunning wizard enables you to create and send letters to customers that have not paid their debts within a given time range and to remind them of their overdue payments. In addition, the dunning wizard keeps track of a customer¶s "payment behavior" in the database to deliver this important information to appropriate organizations. The dunning wizard considers the following transactions and documents: 1. Open A/R invoices (including partially paid and partially credited) 2. A/R credit memos 3. Manual journal entries with at least one row posted to a customer 4. Opening and closing balance transactions

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5. Incoming payments To access the wizard, choose Sales ± A/R Dunning Wizard . To run the Dunning Wizard, you have defined the dunning levels and the dunning terms as follows: 1. You have defined the dunning levels by choosing Administration > Setup Business Partners > Dunning Levels. 2. You have defined dunning terms in Administration > Setup> Business Partners > Dunning Terms. The dunning terms are based on dunning levels, and contain parameters and values required for the dunning process run. 3. You have defined the default dunning terms in Administration > General Settings > BP tab > Default Cust. Dunning Terms . You have defined dunning terms for customers. (Choose Business Partners Business Partner Master Data Payment Terms tab Dunning Term field.) You have used the following options to exclude any relevant A/R invoices from the dunning process: - To exclude a specific invoice, display it before you run the wizard. On the Logistic stab, select Block Dunning Letters. You can deselect the option later to include the invoice in the future dunning process. - To exclude all invoices created for a specific customer from the dunning process, display the Business Partner Master Data record for that customer. On the Accounting tab, select Block Dunning Letters. Process: You choose Sales ± A/R > Dunning Wizard and follow the steps listed below. In each step you choose Next to proceed to the next step of the Dunning Wizard, choose Back to return to the previous step, or choose Cancel to cancel the Dunning Wizard creation Step 1: Wizard Options. You select whether to run a new Dunning Wizard or to load a saved one. Step 2: General Parameters. In this window, you modify a name of the default Dunning Wizard and choose a dunning level. Step 3: Business Partners ± Selection Criteria. You choose a range of customer codes for the Dunning Wizard. Step 4: Document Parameters. In this window, you enter the range of the posting dates to include in the Dunning Wizard. In addition, select the relevant document types. Step 5: Recommendation Report. In this window, you enter a new due date and select invoices that are included in the Dunning Wizard for each customer. Step 6: Processing. In this window, you select one of the following options to process the Dunning Wizard: - Save Selection Parameters and Exit - Save Recommendation Report as Draft and Exit

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- Print Dunning Letter and Exit Result: If you print dunning letters, SAP Business One creates the dunning letters and saves the dunning run. In addition, the dunning level and the last date of the dunning letter are updated for invoices included in the dunning run. When a dunning letter is created for a customer, the business partner master data record is updated. On the Accounting tab, the Dunning Date field displays the date on which the dunning letters were created for the last time. To view the history of dunning letters and the list of all invoices, choose Business Partners > Business Partners Reports > Dunning History Report

Differences Between Accounting and Dunning Clerk
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Question: What is the difference between dunning clerk and accounting clerk? Answer: This is usually referred to depict the responsibility.

Accounting clerk you will find in G/L account master in FS00 who is assigned responsibility to maintain and clear this account, he/she has track every movement in the account. Dunning clerk is the clerk who is responsible to dun the particular customer and send notices. Dunning Clerk is responsible for running the process of Dunning. The name of Dunning Clerk is printed on Dunning Notice whereas the Accounting Clerk is responsible for running the Automatic payment run program and his name can be printed in foot notes of Payment cheques etc.

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There can be scenario when both dunning and accounting clerk are same.

In some organization, the Accounting Clerk and Dunning Clerk may be same but in system, there must be two separate persons but you can assign same IDs and name.

Configuration You can configure the Dunning clerk in the same place where you had configured the Accounting Clerk. Both the field names are BUSAB, but Accounting Clerk is maintained in table KNB1 and the Dunning Clerk from KNB5. Master table for the both is T001S. Configure the Data Medium Exchange for making payments How can I configure the Data Medium Exchange for making payments? How can I link it to (F110) payment program & get the file MT100 to be sent to the bank? When configuring the payment methods for the country (transaction OBVCU), choose the payment medium program as RFFOM100. From se38, pls read the documentation for the program, which will give you the various options & the required config too. You would also need to configure the instructions keys as required. To generate the DME file, you have to run the automatic payment program with this payment method. After the payments have been successfully posted, you can go to DME administration and with the help of dme manager download files on your PC. SAP has determined that the standard print programs for automatic payments will no longer be supported, and will be replaced by transfer structures created by a tool called the DME Engine. This tool enables the business to create DME output files without ABAP development, and can be attached to a print program and form for the creation of Payment Advices. Outside of the DME Engine (DMEE), the majority of the configuration takes place within the following IMG menu path: IMG Path: Financial Accounting -> Accounts Receivable and Accounts Payable -> Business Transactions -> Outgoing Payments -> Automatic Outgoing Payments -> Payment Media -> Make Settings for Payment Media Formats from Payment Medium Workbench Config Assign Selection Variants

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IMG -> Financial Accounting -> Accounts Receivable and Accounts Payable > Business Transactions -> Outgoing Payments -> Automatic Outgoing Payments -> Payment Media -> Make Settings for Payment Medium Formats from Payment Medium Workbench -> Create / Assign Selection Variants or transaction OBPM4..select your format that you are using Check in FBZP config that all is linked! Although this is bitty but you need to work through it! Start with FBZP, create all there than go to DMEE either to create your own format or use the standard ones.. than go to the menu path above and work through from create to assign... Set the baseline date=Invoice date

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Through payment terms, you can set the baseline date=Invoice date. The payment term is entered in the Vendor Master Record and it will be defaulted in MIRO. If payment term in Purchase Order is different from the Vendor Master Data, it will have preference over the Vendor Master Data. FB50, FB60, No document number was display On the first day of business after the basis people apply an upgrade to a kernel, over the weekend, we lost visibility to the document numbers in the status bar after we posted transactions FB50 and FB60. An OSS message was created and the reply was that it was an issue with a kernel patch level. They refer us to OSS note 510815, and kernel patch level 1121. MIRO No FI document after upgrading to 4.6x When we upgrad to 4.6x, users was not willing to access the FI document through Invoice display :MIR4 -> Follow on documents I agreed with them because it is really troublesome to go through such a long steps in order to find out the FI document number. In 4.6x, SAP only display the Invoice document number after posting. In order to display both the Invoice and FI document number at the same time, you have to apply OSS notes 216935 and 310231. You need to changed the programs in order to get the message "Invoice Document no. & and FI Document no. & created." The following messages which were modified as per the OSS note to get the FI document number. Message no Newtext Old text

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060 Document no. & created Invoice Document no. & and FI Document no. & created 075 Document no. & created (blocked for payment) Invoice Document no. & and FI Document no.& created (blocked for payment) 282 Document reversed with no. &: Please manually clear FI documents (No change done in the message text). But it will display FI document number after changes. 392 Invoice document & has been posted (Now this displays Invoice document number. After changes,it will display FI document number). After these changes you will be able to see the FI document number and Invoice document number displayed in the message bar after executing the MIRO Transaction. You will need authorizations and access key to do the modification. Different Between Posting, Clear and Payment

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Posting occurs with many different types of documents. It indicates that all sides of the FI entry are in balance. Posting actually writes the document to the G/L. Payment on the other hand is the actual issuing of a check. Payments can also be processed in accounts receivable. In that case, you are posting (updating your books to reflect) the receipt of a check from a customer and the deposit of said check in the bank. Accounts payable is processing the money your company owes to a vendor for goods and services received. Account Payable is a liability on the balance sheet. Accounts receivable is collecting the money that other companies/customers owe you. It is an asset on the balance sheet. SAP is integrated. In most instances, there isn't a "link." The transaction directly updates the tables involved. There is a semi-severance between FI/Payment to allow checks to be issued even if there's a minor imbalance in the FI side of the posting. Asset depreciation and physical inventory are some example that don't update FI (CO/FM) as soon as the document is saved. Modules that appear in more than one place is caused by SAP trying to be flexible in where it places things on its menu, so that different users/companies find it easy to locate a given transaction within the confines of the module they

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work in. This has become more pronounced since the change to role based authorization management. That's why you can reach Create a requisition from 4 different pathways, why Project Systems is in both Logistics and FI, and why Travel Management is in both HR and FI. In some organizations, travel authorization and tracking is an HR function, in some it is an FI function. Difference between Clear and Payments Apart from processing open items, what is the difference between: 1. Accounting-->FA-->AR-->Document entry-->Incoming payment > F-28 and 2. Accounting-->FA-->AR-->Account-->Clear F-32 and the difference between F-53 and F-44 in AP. When you post a transaction, you will get a Accounting document. If you are creating a payment document through F-53 or F-58 without linking the Accounting document, than we have to create a link between the accounting document and payment document and that can be done through F-32 (for GL) and F-44 (for AP). An good example is when we make down payment, a payment document is created. If we post the invoice, an accounting document is created. To clear this payment document and accounting document, F-44 is used. - F-28 will be used to make trasactions for income payments. Eg: If you receive from a customer by using above T code will be passed necessary entries. - F-32 will used used for clear the Customer line items. - F-53 will be used for making payments to vendors. - F-44 will be used for clearing the Vendor Line items. Vendors not used within a specified period ----Original Message---Subject: vendors not used within a specified period Hi, Wondering if any one can help me? A while back I found a report which listed vendors not used within a specified period i.e. list all vendors with no movement over the past 6 months. I can't seem to locate this report/programme? Regards -----Reply Message---Subject: RE: vendors not used within a specified period Try report S_ALR_87010043 - Vendor Business. Within the report, under the Output Control section, select the indicator "Accounts With No Purchases" and run the report for the time period which you wish to evaluate. Hope this helps

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-----End of Message----Delink Cheque Payment from Payment Document I want to delink cheque number 000100 from payment doc 4500021. I want to reverse the payment doc 4500021 and pass a new payment doc 4500022 and attach (Link) the cheque number 000100 to this new payment doc 4500022. Note the follwoing functionality : Cheque Voiding ( same as cheque cancellation as we call it ) FCH3 - For unused Cheques i.e. cheques that are not yet assigned to Payment docs. FCH9 - For issued cheques i.e. cheques assigned to payment docs. The above will only void the cheque and the payment doc will stand as it is. After voiding the cheque the related payment doc can be reassigned to a new cheque. If you reverse a Payment document itself ( T.Code FB08 ) then the system will ask for a void reason if a cheque is already assigned. The voiding of cheque will be done automatically if you reverse the payment doc and enter a void reason code. You cannot reverse a payment doc that has been assigned a cheuqes unless you enter a void reason code. There is a nother transaction available for Payment Cancellation - FCH8 The cheque that has been voided is blocked for further use. If you still want to use it you need to first delete the cheque information. T.Code FCHE. Also cheque related t.codes in this aspect. related T.Codes start with FCH* and can be found in the Area Menu Cheque Information. Setting Up Manual & Automatic Payment Program

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I am doing a project in my institute. we are facing a problem in running a automatic payment program. Suppose I have a balance of Rs 100000 in my bank account and today I am running a Automatic payment run. Total payment of the run are Rs 150000. So when I run Automatic payment run it is not giving any error message. What to do with this problem. In my point of view we have to create validation. And link between bank account and payment method. If the balance is less than the automatic payment amount the run should be stopped . The Automatic Payment Program does not check the Balance of your Bank Account.(GL A/c. Bal.) What it does check is the min & max amounts that you have maintained in your customisation.

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In FBZP Transaction (type in easy access screen), you have to maintain the config for your automatic payment runs. In Bank determination (in FBZP), you have to fill in the available amounts for each Bank. This is the maximum amount up to which payments will be generated by the Auto. Pay. Run. So if you want to ensure that on any single day the payment run does not pay more than bank balance, you have to update on a daily basis available balance to match with your bank balance . In SPRO you can find the customisation for A P Run, but FBZP is the old transaction for the same thing. Plus it lets you do all the related customisation, in one place. As far as I know, there is no direct way of linking your GL account balance to the A P Run. *-- Uma I am creating a new company code 'A', in which the paying company code will be 'B' and the sending company code will be 'A'. Now I have to configure for both manual and automated payments. Couple of questions on that: 1. For cross-company payments what do I have to do different in the configuration settings. 2. In manual outgoing payments, My user has a list of reason codes ( for overpayment/underpayment) defined for an old company code, it's not allowing me to copy that into my new company code. How can I do that. In Customizing Maintain Payment Program : Transaction code FBZP 1) define your company code'A" & "B" both in section tab (All Company code) 2) Define Paying company Code for example "A" paying company 3) Payment Method in country in tab Country IN (India) - Name of Country - Payment Method "C" is for Cheque "D" for Demand Draft etc 4) Payment Method in Company code - for example "A" is paying company define payment method in same section 5) In Bank Determination Section - define Ranking Order, Bank Accounts, Available Amount, Value Date, Expences/ Charges 6) Define House Bank : HB Name , Account ID Bank Account Text,

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While runing APP (F110) user should select paying Co Code "A" in maintain variant, *-- Rajat Steps of Automatic Payment Program What are the various steps of Automatic Paymen Program & how to configure it in the SAP system?
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Transactions ± Outgoing payments ± automatic outgoing payments ± payment method/bank selection for payment program ± set up bank determination for payment transactions ± BA NKDET 9. Assign payment method to vendor Master record: SAP menu ± Financial Accounting ± AP ± Master Records ± Change ± FK02 10. Automatic payment program running: Sap Menu ± Financial Accounting ± Accounts Payable ± Periodic processing ± Payments ± F110 11. Running the app program: First give the parameters. Company code and payment method and next date. It means the next date the running the program. And go to additional log in that we need to select due date check, payment selection in all cases, line items of the payment documents and save it. Click on the schedule proposal, next payment run in the last it has to display one generated and one completed. Next go to new session click on systems services and reporting in that give RFFOUS_C Then give the run rate, identification methods, company code, house bank, bank id, check lot no, and save it and then execute it. And come back f110 and give that identification in printout and save it. FI Questions about GR/IR

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How do we post the FI transactions after doing MIGO? Does the Migo generate FI postings or do we manually do the posting. If we do it manually what is the T.Code to do it. 2. How do we reverse an Invoice? We go to miro and enter a credit memo. How do we post the reversal entry? In SAP, the moment you save the MIGO transaction, it automatically generates FI document. It will create following entry:Raw Material Stock A/c Dr To GR/IR Clearing A/c In MIGO transaction itself, you can post Excise by choosing Capture and Post Excise Invoice. The FI document will be as follows: RG23A Basic Excise Duty A/c Dr RG23A Education Cess A/c Dr To CENVAT Clearing A/c After doing MIGO, you execute MIRO. In this transaction also, SAP will generate FI document automatically. The entry will be as follows:GR/IR Clearing A/c Dr CENVAT Clearing A/c Dr

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VAT Setoff A/c Dr To AP-Vendor A/c Reversion of entry of material purchase can be in entered on rejection of material partially or wholly. In this case, you will have to raise a debit note on the vendor. But before raising debit note, you have to first ensure that the Invoice verification of the material (to be rejected) is complete at the time of purchase. Purchase documents cannot be reversed directly like pure financial document entry. To reverse the material document, following procedure should be followed. 1) Create Return Delivery (MIGO) 2) Reverse the Excise Duty Posted (J1IS) 3) Raise the debit Note. (MIRO) * -- Rajesh Birari Cancel Invoice In MR8M While cancelling invoice in mr8m, I'm getting a message that FI documents to be cancelled manually. What does this means? If the cancellation / reversal of MIRO invoice is done through MR8M, only the MM invoice / documents gets reversed but the FI document will not be reversed or cancelled. We have to follow the following procedure.

1. Goto T.Code MIRO 2. Select Credit Memo in the transaction field. 3. Fill up all the details in the fields for the invoice to be reversed. 4. Give the P.O. no 5. Select the line item to be reversed. 6. Simulate and save. The impact will be as CR DR GR/IR clearing Vendor a/c a/c

By this procedure, the purchase order history in P.O. will also get updated and there is no requirement of any manual clearing. Only in the Vendor a/c, the DR. and CR should be knock off.
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Configure Automatic Clearing of GR/IR

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How to configure Automatic Clearing of GR/IR?

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by: Narasimham Follow the following steps: Define Adjustment

accounts

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GR/IR

Clearing

Path: IMG-F/A-G/L/A-Business adjustment accounts Double System Again will Click ask on you update

The goods receipt/invoice receipt (GR/IR) clearing account is a provision account, and is posted to whenever you receive goods that have not been invoiced yet or whenever you receive invoices for goods that have not been delivered yet. In this activity you define the numbers of the adjustment and target accounts for the automatic postings for the GR/IR clearing account. Transfer postings have to be made at the balance sheet date to reflect the goods invoiced but not delivered and the goods delivered but not invoiced. Transaction code F.19 analyzes the GR/IR clearing account and posts adjustments entries for outstanding amounts to adjustment accounts. It makes

the offsetting entry to the account for goods delivered but not invoiced or to the account for goods invoiced but not delivered (target account). Recurring Entry & Sample Doc
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By : Prabha K. Explain what is recurring entry & sample doc from basic point of end. Sample Document : It is a special type of reference document. It does not update transaction figures. Data from this document is used to create default entries on the accounting document entry screen. Recurring Entry : A periodically recurring posting made by the recurring entry program on the basis of recurring entry original documents Recurring Entry Document : A document containing the fixed data for every recurring posting (for example -> posting key, -> account, -> amount«. These 3 never change). You set up recurring entry documents for business transactions that occur on a regular basis, such as rental payments and insurance premiums. It does not update transaction figures. To store, system used number range "X1" Cross Co-Code transaction cannot be posted with recurring entry program. Recurring Entry Program For postings that recur on a regular basis, such as payments for rent, interest, legal fees, property taxes, you can use the "Recurring Entry Program" to have the necessary documents generated automatically. (1) Create Recurring Entry Original document It contains«««The date of the first & last posting The frequency at which the posting should be made, The date of the next planned posting (2) The Recurring Entry Program must be run at regular intervals within a specified period. The program selects all recurring entry original documents in which the date of the next posting falls within the specified period, and then generates a Batch Input Session (3) When the Session is processed, an FI original document is posted. The date of the next posting is changed accordingly in the "Recurring Entry Original Doc" You can create recurring entries and execute at month end by using these t.codes.. FBD1 FBD2 FBD3 Create Change Display

In FBL5N/FBL1N, I have checked the related documents and found that one of the line items is having 'Trading Parnter' field as BLANK. So I need to enter the Trading Partner in the document header. Here I have noticed that the Trading partner field is DISABLED and hence I am unable to enter the values and proceed further. I think if I can fill the trading partner field with the required value the documents can be cleared. How can I make the Trading Partner field active. In the document type setting KA (used here) the 'Enter Trading Partner' flag is ON. Also I have check the Field Status settings for the Posting Key also for Trading Partner. Solution: On the first hand it is not possible to update the trading partner field for posted documents, as per SAP Standard. There are two alternatives to this: Alternative 1: REVERSE AND DOCUMENTS CAUSING THE PROBLEM AND RECREATE THEM AFREASH 1. Find out if there are any clearing documents within the main document in question which is not getting cleared due the trading partner field. 2. Goto FBRA: Reset and reverse the clearing documents if any as found in step 1. 3. Goto F-02 give the main document number; then goto "Document>Reverse" menu or press CTRL+SHIFT+F12 to reverse the document. 4. Goto F-02: Recreate the main document using "Post with reference" function of document header which gets automatically populated (with correct Trading Partner field )as per setting defined in the customer/vendor master data once the document is saved. 5. Goto F-44/F-32 and then try clearing the vendor/customer. 6. Dont forget the post the clearing documents which were reversed in Step 2. Alternative 2: This shall be taken as the worst case which shall not be recommended as normal practice. To develop an ABAP which shall update the trading partner field VBUND in Table BSEG, BSIK, BSID and then try clearing the documents. SAP Financial Tips by : Kailash

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What is Trading Partners? In Business Terms Trading partner is your business partner within Group with whom you are doing business.In order to identify Inter Company transactions Trading partner field is used. You need to define all the Group Companies as company in SAP and all the defined Companies will be available for selection in Trading partner field. Trading partner can be defaulted in GL, Customer or Vendor Master. If you need you can populate trading partner at Document level too by doing settings in Document Type Master in T Code OBA7. *-Suresh Trading partner is normally used to control (payment/transaction) vendor/customer business with the group. Something like group/inter group business. You have to go to master record. for eg, in customer master, go to CONTROL DATA tab so see Acccount Control, in which you have provide trading partner number/reference. *-- N B Process Of Letter of Credit for Imports 1. The Clearing agent ask for amount, the person who receive the product will give Letter of Authority to Clearing Agent. The clearing agent move to bank and take check. For this purpose, we just issue LA. 2. Prepare Purchase for the Vendor from whom we are going to receive the product. There may be 2 or more Vendors. 1. Product cost to be transferred to Vendor A 2. Freight or Other Charges to Vendor B 3. Customs Duty and Others to Vendor C Tcode : Me21n 3. First We have to pay Customs Duty to Commissioner of Customs after LA issued. Entry : Customs Clearing a/c Dr Cess on Custom a/c Dr CVD Clearing a/c Dr Cess on CVD a/c Dr Special CVD a/c Dr Vendor C a/c Cr. T-code :MIRO or YMIROOTH 4. Cenvat credit for the product will be taken by person who handling Excise in that company Entry : Cenvat Clearing a/c Cr. RG23A Part II a/c Dr. 5. Clearing of Cenvat Credit

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Clearing clearing CVD CVD

a/c a/c a/c a/c

Dr. Cr. Cr. Cr.

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6. After Bank payment they will transfter to us Entry : Vendor a/c Dr. Bank a/c - Cr. Tips by Jayaraman P.C. Bills Of Exchange Concept In AP By : Cisko About bills of exchange concept in Accounts Payable. Bills of exchange may be defined as a commitment subscribed by your customer to pay a certain amount on a given date upon presentation of the bill of exchange. They can be used to materialize installment payments. For example, you have accepted that your customer pays the invoice amount in 3 monthly installments of 1000 USD each. You will issue 3 bills of exhange of 1000 usd each and maturing in month in month m, m+1 and m+2. The bills of exchange will be sent to your customer for acceptance(customer signs them). Once accepted they will be returned to you. You will have to post accounting entries. But note that even though the accepted bills of exchange can be considered as payment, you cannot clear the outstanding customer invoice until the bills are effectively paid at maturity date. You then have to post the bills of exchange as a special GL transaction. Again once you have received the bills of exchange you may decide to discount them right away with your bank and this is done with or without recourse. Depending on the option choosen, accounting entries are different. by discounting the bills you receive payment of the bill and this can be used to clear the outstanding customer invoice. But note that until the bill is finally paid by the customer at maturity date you remain liable. You account for this liability by making postings which will show the discounted bills of exchange as a contingent liability. They do not show in the balance sheet itself but appear in an appendix of the balance sheet.

Recurring Documents and Interest Calculation
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How to create recurring document template? How to run recurring document and what date should normally put to run it and what are the steps for Interest Calculations? For Recurring document template you can use the following T.Codes

5. Assign interest indicators to ref. int rate or define time dependant terms: T.code: ob81 path: img ->fin. accting -> AP AR :-> Business transactions :-> interest calculation :-> interest calculation -> define time dependant terms Here in sequence # always use 1 for line item interest 6. Interest calculation account assignment: Here we will mention how and which accounts the interest program should post. T.code: obv1 path: img ->fin. accting -> AP AR :-> Business transactions :-> interest calculation :-> interest posting -> prepare interest on arreas calculation (customers) The Steps For Interest Calculation of Bank What are the steps involved for the rate and calculation of bank interest without posting? By : Vicent Yes, you can do that, but there is no report available for you to give that information. You can go for balance interest calculation. You can run the balance interest calculation and not process the batch input session. The posting happens only when you process the batch input session. This configuration allows you to charge interest on overdue customer accounts. Interest can be calculated by using the line items or overall account balances. SAP keep tracks of the date of the last interest run and stores it in the customer master record. First create an Interest Indicator. OB46 Interest Settlement Calculation Type Int Calc. Type P calculate interest based on line items. S calculate interest based on account balances. Secornd, make it avaliable to the interest run program. OB82 - Interest Terms Third, determine the interest rate that will be used by the calculation. OBAC Define Reference Interest Rates OB83 Enter the Reference Interest Rates Value Fourth, assign the interest indicator to the reference interest rate. OB81 Define Time Dependent Terms Finally, determine the how and to which accounts the interest program will post. OBV1 - Prepare Interest on Arrears Calculation

Next Go To Process open items. Go to Res. Items tab and double click on the Residual items.

To avoid transfer posting of the same vendor invoice You can check "Flag for double invoices or credit memos" on Vendor master data. In FK02, Company code data -> Options Payment transactions. Tick Check double invoice.

Significance of One Time Vendor

What is the significance of one time vendor, can we post more than one invoice in fiscal year? by: Rams Use One-Time-Vendor Master In one time vendor we are not maintaing master data. Because the details of the vendor is entered only at the time of entering invoice. After that we can't use the details of the one time vendor. But you can post more than one transactions for that one time vendor. In Normal vendor, we key in all vendor details at the time of vendor creation. But it is not possible to convert one time vendor to normal vendor. You can create special vendor master records for vendors from whom you procure goods only once or rarely, so-called One-Time Vendor Master Records. For example, suppose you order goods from a vendor with whom you usually do not place orders, because your main vendor was not able to supply the required items. In this case, you would use a "one-time vendor" master record. When creating a "one-time vendor" master record, you must assign a one-time account group. This account group determines that the vendor-specific fields are suppressed. You don¶t need to enter this data until the time a purchasing document (e.g. a PO) is created. When you create a purchasing document with a one-time vendor, you will be asked to enter the vendor address. Enter the vendor¶s name and address. Like all other master records, you can display, block, or delete one-time vendor master records. One-Time Accounts (FI) An account in which transaction figures are recorded for a group of customers/vendors with whom you conduct business once or rarely. One time account requires a special master record. For all customers / vendors with whom you rarely do business, a special customer/vendor master record should be created. No data specific to a single customer/vendor is stored in this One Time master record, since this account is used for more than one customer/vendor. Therefore fields like address, communication, bank data are suppressed. You invoice a customer who purchased goods from you because his main vendor could not supply them. In this case, you post the invoice to a one-time vendor account instead of creating a separate master record.

When you post to a one-time account, the system automatically goes to a master data screen. On this screen, you enter the specific master data for the customer, which is stored separately in the document. This includes name, address, and bank data, for example. You process the master record for a one-time account in the same way as you process all other customer master records. You can dun open items from it with the dunning program or pay items using the payment program. The functions for one-time customers are only different in a few aspects. For example, you cannot clear amounts with a vendor. Reconciliation Accounts To create one-time master records, you have to specify a reconciliation account. If you differentiate between reconciliation accounts in your company, you will need to take this into account when creating one-time master records. You may, for instance, have different reconciliation accounts for domestic and foreign receivables. You would then have to create two one-time master records. Line Item Display For line item display, you should enter a key for sorting line items in the Sort key field. Keys 022 and 023 are provided in the standard system. You may define other keys that are specific to your company. Keys 022 and 023 have the following meanings: - Enter 022 to have the system sort and display line items by name and city. - Enter 023 to have the system sort and display line items by city and name. The line items of customers in the same city are displayed together. Sort criteria can also be specified when entering a document. These criteria will override the sort keys specified in the master record. When creating a one-time account, use the appropriate account group (such as "onetime account" in the standard system). Settings To Post To a Particular Vendor I want to make an A/P entry but it says the vender HG12 doesn't exist. Where are the necessary settings so that I can post to that particular vendor. You need to maintained the following settings before you can post: 1. Creation of Vendor Account Groups(OBD3)

How to resolve this error, while making a payment to vendor. I have invoice amount document credit to vendor and debit adjustment document as debit to vendor, its not allowing for net off , getting the error has "Enter a payment method for incoming payments". You can do any of the following: 1. Delete the existing payment proposal. Clear the debit, credit by offsetting which will create a new net due document. Then run F110. or 2. Delete the existing payment proposal. Configure and incoming payment method for the company code and then run F110. How Down Payments Are Configured The following Customizing settings have to be made for down payment processing: Settings for the billing plan - To activate the billing plan function, maintain the materials, for which you wish to process down payments, with item category group 0005 (milestone billing). This gives the item type TAO via item type determination. The item type TAO calls up the billing plan function. You need to implement the following activities in the billing plan for down payments: Maintain deadline category - This determines the billing rule (percentage or value down payment) for the down payment request. The system assigns billing type FAZ (payment request) defined in the standard system with billing category P. (For the

billing type FAZ there is the cancellation billing document type FAS in the standard system). Maintain the deadline proposal - Use the down payments that are due for the proposed deadlines. Maintaining a Pricing Procedure with the Condition Type AZWR: In the standard system the condition type AZWR is delivered for the down payment value already provided but which has not yet been calculated. You must include this condition type in the relevant pricing procedure before output tax. Enter condition 2 (item with pricing) and the calculation formula 48 (down payment clearing value must not be bigger than the item value) for the condition type AZWR. Before the condition AZWR you can create a subtotal with the base value calculation formula 2 (net value). If the condition AZWR is changed manually, you can get information on the original system proposal from the subtotal. Maintain the printing indicator - The pricing procedure can not be marked as a transaction-specific pricing procedure (field Spec.proc.) The condition type AZWR has the calculation type B (fixed amount) and the condition category E (down payment request / clearing). Maintaining the Billing Document - In the standard system there is the billing type FAZ (down payment request) and the billing type FAS for canceling . The down payment is controlled using the billing category P of the billing type. A billing type becomes a down payment request when the billing category P is assigned. You have to maintain blocking reason 02 (complete confirmation missing) for the billing documents and assign it to billing type FAZ. Copying control - Copying requirement 20 must be entered in copying control at item level for the down payment request. In the standard system the order type TA for copying control is set up according to the billing type FAZ for the item category TAO. Copying requirement 23 must be entered in copying control at item level for down payment clearing. In the standard system the order type TA for copying control is set up according to the billing type F2 for the item category TAO. Financial Accounting settings - A prerequisite for down payment processing is that the account is assigned to the underlying sales document. To do this, change the field status settings in Customizing as follows:

Set reconciliation accounts (transaction OBXR) - For the `received down payments' and `down payment requests' from the G/L accounts you have selected, you should assign the field status definition G031. Maintain accounting configuration (transaction OBXB) - For the down payments (posting key ANZ in the standard system) and the output tax clearing (posting key MVA in the standard system), you must maintain the posting key. You must also carry out a G/L account number assignment for the tax account. Maintain the posting key (transaction OB41) - For posting key 19, set the sales order as an optional field !!! Maintain the field status definition (transaction OB14) - For field status variant 0001, field status group G031, set the sales order as an optional field !!! Assign the company code to the field status variants (transaction OBC5) The Down Payment Process Steps How does the down payment process work in SAP? by: Satish I will try to give you a very good explanation how down payments work. Down Tcode F-29 : You post the customer down payment. You can see that the indicator for downpayment A is assigned. You can also see the report at FBL5N which is line item display for customers. You will have to tick the special G.L indicator A for noted items to view down payments recieved from customers Tcode FB70 : Payment recieved from a customer.

You make the customer invoice in FB70, remember that you make the invoice for the total item and not minus the down payment amount for the customer. For example if you have posted a down payment for 500$ in F-29 and the invoice amount is 1000, you will post 1000 and not 500 as the customer invoice. Tcode F-22 : You transfer from special G.L as it is a downpayment to normal item as it is no more a current liability for the company. Tcode F-39 : You give the invoice reference number and process the down payment and double click on transfer posting. You can see the balane A has been nullified. Tcode F-28 : Finally when you recieve the payment from the customer you clear the open items for the customer. Using the Lock Box Files in SAP FI I was trying to learn & experiment with using the lock box. However, I don't have any sample files that I can upload and see if it works. Does anyone have any sample bank files and any material that I can use. It would really help me undestand the procedure. Lockbox is a process provided by a bank where the customer remits his payment to a PO Box at your bank, the bank deposits the check in your account and enters the remittance data from the customer. Then the bank sends the data to you electronically for you to import and apply in SAP-AR. The structure that the bank uses is usually one of two formats. BAI will provide you the customer information and the check amount but no invoice remittance data. Usually cheaper and works well for a business where customers are paying only one invoice at a time. BAI-2 offers remittance data but the bank charges more for the service because they have to enter more info. Look at structures FLB** to see the transfer data.

When the bank sends the customer payment data you use Treasury function FLB2 to import and then process the payments. This process attempts to determine where to apply the payment and will post directly against an invoice, an account to a customer or if it can't even determine the customer it posts into a clearing account (configured) to be resolved. SAP FI Tips by : Rakesh Jhunjhunwala The Flow Of Lock Box Processing ERP SAP ==> SAP FICO What is the flow of lock box processing? By: Aparna Lockboxes are a procedure used mainly in the USA to enable checks to be deposited more quickly. The checks the bank sends to you are entered as credits by the bank, and the information entered is sent to the payee using File Transfer. The lockbox files must be formatted per the BAI standard format. Under certain circumstances, the bank transmits a data carrier to the payee several times a day; the carrier bears the important check information. From this data carrier, postings are then generated for accounts receivable and G/L accounting. Lockbox service has the following advantages for the payee: - Better liquidity, thanks to faster collection, depositing, and crediting of checks. - Reduced processing workload To import lockbox Choose Incomings You reach Specify the path and Specify the Choose Program -> Execute. proceed Lockbox the initial file name of the import -> data, as -> follows: Import. screen. lockbox file. options.

Enter the required data and choose Execute. The selected lockbox data is displayed in a hierarchy. The icons in front of show the status of the check. The following are possible status Posted on Partially - Not posted Proceed as follows to a. Choose View The screen for displaying lists appears. display -> the Other check each line entries: Posted account applied status: Display

b. Click on the ALV icon Layout settings and choose Change layout. c. Select the Check Status field in the dialog window under Column List. d. If you want to use the field in the column list, click on the left arrow and choose Copy. The system displays the check status. Edit Payment Advice In order to edit the payment advice, double-click on the Payment Advice field in the list display. Change the data you want to correct, save and choose Back. If you want to change the account or account type, show the Account and Account Type fields as described for the Check Status field. Both fields are shown in the list display and you can change them directly. Choose Enter to save the changed data. If you want to ensure that your changes have been saved, double-click on the Payment Advice field and choose Payment Advice -> Header. Choose Checks -> Post to resume the automatic posting of changed checks. Lock Box Configuration What are the steps for lock box configuration? Lock Master Data Settings General Ledger Accounts: Box Config:

General Ledger Account Master Record Settings: Cash G/L accounts exist for each bank. For example account 1105012 is for PNC Bank. If you look at the G/L account master record for this account (Accounting -> Financial Accounting -> General Ledger -> General Ledger -> Master Records -> Display, transaction FS03) you will notice the 'Relevant to Cash Flow' field is checked. Customer Master Record Settings: In order for the lockbox program to identify a customer the payment MICR must be populated on the customer master record in the General Data: Payment Transactions screen. The remit-to lockbox assignment must also be specified. Regarding the tolerance group assignment, XXXXX only has one configured that is a blank customer tolerance. By defining a blank tolerance group the tolerance group field may remain blank on each customer master record but the tolerance settings are applicable. The tolerance configuration will be reviewed in the next few slides. Finally an alternative payer should be entered on a customer master record if another customer account will pay the bills for the customer. Lockbox Assignment on Customer Master Lockboxes are assigned on customer master records and determine which remit to address is printed on the customer's invoices Tolerance Settings When an incoming cash payment does not exactly pay the referenced open item(s), the system will create a residual item back on the customer's account or write-off the difference if tolerance limits are configured. In SAP tolerance limits are set for users and customer accounts with the stricter limits applying. SPRO -> Financial Accounting -> Accounts Receivable and Accounts Payable -> Business Transactions -> Manual Payment Receipt -> Define Tolerance Groups for Employees Transaction: OBA4

This transaction is used to create tolerance groups for users. The tolerances are defined by company code and at a minimum there must be one assigned to each company code otherwise no postings can occur in the company code. Company Code Currency Amount per Document ± The maximum amount that can be posted in an accounting document. Amount per Open Item Account Item ± the maximum amount that can be posted to a customer or vendor account. Cash Discount per Line Item ± the maximum cash discount percentage that can be applied to a line item. Amount, Percent, Cash Discnt Adj. To (Both Revenue and Expense) ± the amount field contains the maximum amount of a customer overpayment (Revenue)/underpayment (Expense). The percent field is the maximum percentage rate difference posted by the system. The lower limit between the amount and percentage applies. Configuration: Define Tolerances (Customers/Vendors) SPRO -> Financial Accounting -> Accounts Receivable and Accounts Payable -> Business Transactions -> Incoming Payments -> Define Tolerances (Customers/Vendors) OR SPRO -> Financial Accounting -> Accounts Receivable and Accounts Payable -> Business Transactions -> Outgoing Payments -> Manual Outgoing Payments -> Overpayment/Underpayment ->Define Tolerances (Customers/Vendors) Transaction: OBA3 This transaction is used to configure customer tolerances. To change a tolerance select the company code then press the Details icon. Configuration: Define Reason Codes Transaction OBBE is used to configure reason codes by company code. All new reason codes must be configured in each company code. Configuration: Define Text : Transaction OB56 is used to configure the text that appears on a line item based on the reason code entered.

Configuration: Define Accounts for Overpayments/Underpayments : Transaction OBXL is part of the automatic account assignment. The GL account for overpayments/underpayments is maintained here. Configuration: Define Posting Keys : Transaction OB41 is used to configure posting keys. Posting keys are two-digit numeric keys that control the entry of document line items. Specifically it controls the account type, debit/credit posting, and layout of entry screens. Lock Box Setting What are the steps for lock box setting? Lock There are three lockbox settings:
y y y

Box

setting:

Defining lockboxes Defining control parameters Defining posting data

Define Lockboxes: Financial Accounting -> General Ledger Accounting -> Bank-Related Accounting -> Bank Accounts -> Define Lockbox Accounts at House Banks Transaction: OB10 In this transaction, you define your lockbox accounts at the house banks. Thus, on the outgoing invoice you can inform your customer of the lockbox to which payment is to be made. By specifying this, you can optimize the payment transactions. To configure the lockboxes first specify the lockbox links (company code; key of the lockbox to which the customer is to pay; house bank ID; lockbox number at your house bank). Second enter a remit to address that will appear on the customer invoice. Define Control Parameters: SPRO -> Treasury -> Cash Management > Business Transactions -> Lockbox -> Define Control Parameters Transaction: OBAY The top "Record format' settings are unnecessary for BAI2 format, and should be left blank. Procedure - LOCKBOX (currently the only supported procedure in standard system)

Record Format - BAI or BAI2 Record Format Parameters: (Required for BAI Only) Document # length - length of the document # used to locate the open item Number of document numbers in record type 6 - maximum # of documents in detail record Number of document numbers in record type 4 - maximum # of documents in overflow record Posting G/L Account Postings: Identifies whether G/L Posting is created. Parameters:

G/L Account Posting Type: (1) = Posting / Check or (2) Posting / Lockbox Incoming Customer Payments: Identifies whether to post to customer accounts also. Insert Bank Details: Create batch session to update customer record with new bank details. ADDBNKDETAIL ± creates batch input session that if executed will update the MICR number information on customer master records. Define Posting Data: Treasury -> Cash Management -> Business Transactions -> Lockbox -> Define Posting Data Transaction: OBAX The lockbox is defined with respect to a 'Destination' and 'Origin" identifier combination. Each lockbox must have its own unique Destination and Origin combination, and also must be defined for a single company code in configuration. The bank must transmit the file with the Destination, Origin and Lockbox identifiers in the exact format as they have been created in SAP lockbox configuration. Otherwise, the file will be improperly read by the lockbox and posting will not properly occur. General Data Company Code - enter the company code for which the lockbox transmission applies Bank Account Number - enter the bank (g/l) account for bank account posting Bank (Payment) Clearing Account - enter the lockbox clearing account Posting Parameters Bank Posting Doc Type - enter the document type for bank account postings (e.g. SA)

Cust. Posting Doc Type - enter the document type for customer (A/R) postings (e.g. DZ) Posting Key: debit G/L - enter the PK related to g/l postings (i.e. 40) Posting Key: credit G/L - enter the PK related to g/l postings (i.e. 50) Posting Key: credit Customer - enter the PK related to customer postings (i.e. 15) Posting Key: debit Customer - enter the PK related to posting residual items (i.e. 06) Execution of Lockbox Program The lockbox program can be accessed using transaction FLB2 or program RFEBLB00. In the PRD environment a variant exists for each lockbox file. For test purposes it is easiest to copy the PRD variants, changing only the location of the lockbox file. However, Before executing the lockbox program please confirm that each of the fields in the above slide is completed as indicated. Import into Bank Data Storage ± this field should be selected so the lockbox file will be imported into the bank storage data. This ensures that the same lockbox file cannot be accidentally imported more than once (based on Origin, Destination, Date and Time values). PC Upload ± this field should be selected if the lockbox file resides on the users PC rather than in a UNIX directory. Lockbox File ± enter the location of the lockbox file in this field. The location may be either on the users PC or in the UNIX directory. Procedure ± this field should always be populated with LOCKBOX. Input Record Format ± this field should always be populated with BAI2. Invoice Numbers ± this field should always be populated with a '1'. This field offers four standard open item identification algorithms. 1 ± match on document number (BELNR) 2 ± match on reference number (XBLNR) 3 ± match on document number first, if not found then on reference number 4 ± match on reference number first, if not found then on document number Enhanced Invoice No. Check ± this field should not be selected. If selected it allows postings to be made across customer worklists.

If you have added the field Internal order in the Asset Master as a statistical order and you want your depreciation posted not only to the cost center but also to this order. In transaction OAYR in the IMG you define how depreciation posts to the depreciation posting rules - there is a CO assignment box where you have to tick both cost centres and internal orders. What is internal order? Explain with example and how it is related to cost center. An internal order is used to accumulate cost for a specific project or task for a specific time period. An internal order is therefore used for a short period with a specific deadline. Your internal order will usually settle to cost centers (and not visa versa) according to the settlement rule in the order setup. An internal order can therefore be used to group all the expenses incurred to plan and hold a conference over a 3 month period. The order can be settled on a monthly basis to cost centers. When the conference is finished the order can be settled finally. The cost of the conference will then be spread over 2 or more cost centers, but can be viewed in total on the internal order when needed. Internal Orders - It is an instrument used to monitor costs and, in some instances, the revenues of an organization. Uses Monitoring Monitoring the - On going cost control Internal - Orders with revenue of the costs Internal costs of and revenues of order Overhead Investment Accrual short-term a specific orders jobs service categories Orders Orders Orders

Cost centers are not for specific job. e.g If you have open Trade-fair / exhibition (1 month period), then to allocate cost, you can use Internal Orders (Say IO) you can post to IO, and from their to various cost centers. If management were to ask you the cost of that exhibition, Internal Order will help you

Cost center is a responsible center in SAP. It cannot be defined as statistical but in transactions it may become as per other co objects.You will be able to find out the performance of the cost center using activities and plan values with actual value. This is lowest cost object in SAP. This will become a statistical object when you allocate the cost to other higher objects. Cost can be allocated to other cost centers or co objects but not fi objects like GL,assets, inventory etc. can be defaulted in transactions through cost element. It cannot be a cost object for a revenue element, revenues are always taken for other higher CO objects. No budget functionality is available but planning functionality is available and is always measured for a year in business. Internal order is the second CO object - which can be defined as statistical or real. You will be able to define Budget and planning figures - more than one year also. Can control the postings of FI through budget controls. You can have the report of Plan vs actual including commitment. Cost cannot be allocated but settled through settlement rules and profiles. The receiver of the values can be any object not like Cost center can be CO objects and FI objects. Ideal for R&D expenses capitalisations, etc. Status profile is linked to this which controls many individual transactions in each status which is a part of this Internal order. It can also receive postings of activities from Cost center. Settlement profile is an wonderful tool for variety of settlement - needed for FI and CO - legal requirements also and Revenue requirements also for any country. All SAP CO orders like Production order, Plant maintenance order, etc will behave like Internal order with more functinalities. Process Fixed Asset Depreciation Every asset transaction immediately causes a change of the forecasted depreciation. However, it does not immediately cause an update of the depreciation and value adjustment accounts for the balance sheet and profit and loss statements. The planned depreciation is posted to the general ledger when you run the periodic depreciation posting run. This posting run uses a batch input session to post the planned depreciation for each posting level for each individual asset as a lump sum amount. The calculation and scheduling of depreciation, interest and revaluation are automatically controlled by keys in the system, or you can control them manually using a special posting transaction. In both cases, planned depreciation from Asset Accounting must be periodically posted to the corresponding asset and expense accounts of the general ledger. You carry out this posting using a batch input session. In addition to the various depreciation types, interest and revaluation, this batch input session also posts the allocation and writing off of special reserves.

When the system posts depreciation, it creates collective documents. It does not create separate documents for each asset. Depreciation Posting Run is done via transaction code 'AFAB'. The program creates batch input sessions for posting depreciation and interest to the G/L accounts in Financial Accounting and/or to Controlling. Fields Description :Company code : Your Company Code Fiscal Year : Your fiscal year Posting period : Your depreciation period Reason for posting run (choose one) Planned posting run : X (default) List assets : (tick if you want to see the detail) Test run : (tick if you run in test mode else untick for production run) Main asset number : (you can specify certain asset number if you click repeat run or test run) Note : Click the execute button if this is a test run. Click the menu bar -> Program -> Execute in background if this is a production run. You should get this message Background job was scheduled for program RABUCH00 and print out the output. Release and Process the Batch Input Session in transaction code 'SM35'. Process X Additional X - Dynpro standard size Click the Process button Session Display errors RABUCH00 only functions :

If there is error, the system will pop up the error message. Correct the error and recreate the session in transaction 'AFBD'. Fields Description :Company code : Enter your company code Fiscal year : Enter your fiscal year Posting period : Enter your posting period List assets : (tick if you want to see the detail) Test run : (tick if you run in test mode else untick for production run) Note : Click the execute button if this is a test run. Click the menu bar -> Program -> Execute in background if this is a production run. You should get this message Background job was scheduled for program RABUCH00 and print out the output. Asset Year-end Closing The year-end closing enable the company to produced the final balance sheet and profit and loss statement for its annual report, which has to be created to meet the particular legal obligations in each country. Once the fiscal year is closed, you can no longer post or change values within Asset Accounting (for example, by recalculating depreciation). The fiscal year that is closed is always the year following the last closed fiscal year. You cannot close the current fiscal year. AJAB - Year-End Closing Asset Accounting Company code : Your Company code Asset classed asset u. const. : Optional For fiscal year : Last closed fiscal year Uncheck 'Test run' if this is a production run :

At

menu

bar,

click

Program

->

Execute

in

background.

Perform Fiscal year close for fixed Assets. While doing a Test run, message is that fiscal year close could not be performed but it does not display any Asset details .It says Other Error. I am not able to identify what those other Errors could be. Also, I have checked Incomplete Assets list As well but that list is empty as well. Also while running tcode AUVA there is a tab correct incomplete Assets, can anyone tell what deos that mean and when its to be used. You can check and edit Asset accounting closing status using tcode OAAQ. But you seem to be not clear on process. AJAB is for closing Asset Accounting books. AJRW is a technical step of changing fiscal year in system. If not done, it will not allow you to view asset reports in current fiscal. Now, your error says incomplete asset. Please run ajab in test mode, check for details. It will give you asset details and error details as well. Go to asset explorere and check if the asst in question has been fully depreciated for the year. If not run repeat deprecation for the asset in period 12 and then try closing asset books. You can also check asset and GL inconsitency using tcode ABST. Asset Reverse Year-End Closing If you closed a fiscal year too soon, and still need to make corrections, you can reset the last closed fiscal year in Customizing for :Asset Accounting (Periodic processing -> Year-end closing -> Reverse). Using this function, you can re-open the last closed fiscal year, either for selected depreciation areas in a company code, or for all depreciation areas in a company code. You do this by changing the field for the last closed fiscal year. Be careful if you re-open a fiscal year only for certain depreciation areas, and you need to make adjustment postings only in these areas. You cannot use the standard

transaction types for these postings, since the standard transaction types post to all depreciation areas. Instead, you have to define your own transaction types in Customizing for Asset Accounting (Transactions), limiting them to the required depreciation areas. OAAQ - Reverse year-end closing for deprciation area At the desired company code, change the fiscal year in 'Closed fiscal year' column. Save entries and create a new request.

Change Asset fiscal year AJRW - Asset fiscal year change Company code : Your Company code New fiscal year : Last closed fiscal year Uncheck 'Test run' if this is a production run At menu bar, click Program -> Execute in background.

Post Capitalization (asset haven't been post in closed fiscal year) If you realized that there are some fixed assets that haven't been post in a closed fiscal year, Do the following steps :1. Reverse fiscal year closed by following the 'Reverse Year-end Closing' procedure. 2. Open the accounting fiscal year via transactin 'OB52'. 3. Post the fixed asset acquistions in the re-open fiscal year. 4. Repeat depreciation run for the last period of that closed fiscal year. 5. Repeat depreciation run for the last period depreciation run of the current fiscal year.

6. Closed fiscal year by following the 'Year-end closing' procedure. 7. Closed the accounting fiscal year via transactin 'OB52'. Mass Change For Assets and Data Reset How to reset Asset Data? You can reset the entire AA data from Img->FA-> AA-> Preparing for production startup ->Tools -> Reset company code. This will reset only the asset accounting data from the company code. But before you perform this you have to make sure that you reverse all the transaction you have posted and have gone to the FI. As this reset will not effect FI GL data. You can then reset the depreciation posted and then the recon accounts. When you reset the recon accounts, it will enable you to post directly to the account like normal GL. Then you have to post JV and rectify you GL(recon account). Then upload the correct data. After the data is uploaded set the recon accounts. this will reconcile the amount with the assets and activate the company code (in asset *-- Lakshmi area). Mass change for assets I am experiencing problems in OA02, Asset Mass Change. I am using 4.6C. What happened was that I created the Substitution, then created the Step, and I then SAVED. I am not sure if I need to create a RULE or not. I have already defined in a STEP, (using Formula Builder) that most assets belonging to a certain asset class, 9011 with a current Cost centre, Z01, are to be assigned to another Cost Centre Z02, within the same Co. Code. I then saved the Substitution, although I noticed that there was a "?" icon next to the RULES folder. I am well aware that for Time Dependent Data, we would need to specify a "Valid From" date. (ADATU, in Table ANLZ) But, do we need to specify a "Valid To" date as well ? My data is like this..... PREREQUISITES: Asset Class =3D '9011'

SUBSTITUTION: Valid From is substituted by Constant '19.08.2001' Cost Centre is substituted by Constant 'ZB02' If I need to create a Rule, What would I need to enter ? I then created a WorkList, and assigned the Substitution to it. After this, I generated the Worklist in Background using AR31. Everything seems ok, but when I check the Assets, I still see the old Cost Centre, NOT the New Cost Centre. -------------Rules are not required. You get a ? because you probably started to create one and did not finish. For a Cost centre mass change, if you want to have it time dependent, you must specify 'valid from' and 'valid to' in the substitution rule. In config you determine if you want to use the time dependency or not (default is : Yes) Asset Master Data Upload I am new to Asset Accounting while I have a potential job for mass upload of master data using transaction AS02. Focus is to convert the asset super number from an old reference to a new reference (to be determined by client), plus some other field modifications included in the request. I would be using BAPI_FIXEDASSET_CHANGE for instance. What table/s I shall look into to explore the system requirements for this? To make a mass change, you have two options: 1. If the change of the field can be put into an algorithm (e.g., enter XYZ as a super number for all assets in class 1234), you can use a mass change rule. You first define the mass change rule in the same way as you would define an asset substitution (IF something, THEN something else), then you go into the mass change transaction, select the right assets, the proper change rule ... and hit Execute. 2. Very often, it is easier to prepare the data in Excel and use transaction AS02 for the upload. Here, I can recommend transaction LSMW - you simulate (and record) the AS02 transaction on one fixed asset master, then follow all the steps proposed by the system (define fixed values, variables, etc.) and finally upload the Excel (.csv). System will automatically generate a batch input for all assets. It may take some time for you if you do it for the first time, but it is the best way if you would otherwise need to define complex algorithms.

So - use option 1 if you have a simple algorithm for many assets, and option 2 if "each case is different" or if you feel more comfortable in Excel than ABAP. Option 2 is simple, but of course takes some time to generate the upload and then run the batch sessions (while option 1 changes everything instantly in a matter of seconds). I¶ve read you post re mass changes of the fixed assets and also interesting in the transaction code for the mass changes. Also I did not understand for LSMW how to simulate (record) AS02 transaction, could you pls describe more clear how to do it? Or better send the csv file as an example« Here are the details: I. To use mass change: 1. First, define a mass change rule in transaction OA02 (Accounting - Financial accounting - Fixed assets - Environment - Mass change rule). For each company code, you can define one rule (or a sequence of them). However, all of them will always be executed at the same time. Therefore, if you need to define different rules for different assets, you will have to do this repeatedly. Technically, this is done in the same way as AA substititution. 2. Once the rule is defined, you need to select assets for mass change. Go to transaction AR01 (Accounting - Financial accounting - Fixed assets - Environment Worklist - Generate). Enter selection criteria like on any standard AA report, and run Execute. I cannot simulate this now on my system (we do not have AA), but it should ask what you want to do (mass change, mass retirement, etc.) and ask for a name of the worklist (write anything - e.g., Super number change). The system will show you a list of selected assets in a report format. Check it and make sure that it is correct. You may add or remove single assets from this (now cannot tell you how, but it is possible). If you are happy with the list, save it. 3. The last step is execution of the change. Go to transaction AR31 (same path as above), execute the report and if you are happy with the list (same as in step 2), press Save. System will show you a log of change (what went through, which errors occured). You are done. II. LSMW LSMW is a transaction, which will let you mass upload almost any other transaction (FB01, FD01, AS91, etc.). You do it in the following way: 1. Enter into transaction LSMW (no menu path), possibly in a development / test

system 2. First, define a project, subproject and object (relatively formal task). 3. On the horizontal menu, go to Goto -> Recordings. Click on "Create recording". 4. Enter the name and description of recording (freely definable). 5. I cannot simulate this now in my system, but SAP will ask you about transaction code (AS02) and will take you into the AS02 transaction. In this step, do the change manually. Make sure you "touch" (change / write something) in all fields which you want to update. 6. Once you are done, save the recording and return on the start page of LSMW. Click "Execute". 7. You will see a list of tasks. Do them one by one. They should be relatively simple (and I cannot help you with them). Important is step 3 (maintain source fields) - here you define the columns of your excel (csv) file in the particular order. In step 5 (field mapping and conversion rule), you assign file columns to SAP fields (note that you will see only those fields which you "touched" during recording). You need to go through all the steps. In the end, you get (and run) a batch session. 8. If you did this in a development system, transport the LSMW object (menu Extras Export project, Extras - Import project). You have to do it via file, not via standard transports of configuration (it is perhaps more simple). Make sure you test it first in development or quality system! Fiscal Year Variant Assuming that you are newly implemention with go live date of Sept 1st 2006 and Fiscal year January - December, what will be the best way? Would it be better to define a Shortened Fiscal year for Sept-Dec 2006 and then regular Fiscal years OR Define a full Fiscal year for the entire 2006 and future FYs Normally, the best way is to keep it simple and leave the first year "normal" (12 + 4 months starting January). You convert old data as of August 31 (unless the client requests opening balance as of December 31, 2005 and then monthly movements - I have experienced both options) and then start normal bookings in month 9 on September 1. We never tried shortened fiscal year in this context and it is surely not needed here. It just adds complexity. If we create the normal Jan-Dec Fiscal Year for 2006 also, how will we handle the assets when we go live in Oct 2006? Do we load the book value at that time or

we load the book value for January 2006 and depreciate in the system for January to September The ordinary way is to load fixed assets which exist on September 30 (if you go live with AA module on October 1) with trans. AS91. - First, you need to set in configuration that the last closed fiscal year for legacy data upload is 31.12.2005 and the last period for depreciation will be 9/2006. (Do it in IMG: Financial accounting - Asset accounting - Asset data transfer - Parameters for data transfer - Date specifications) Within trans. AS91, you enter the following values: - acquisition value and accummulated depreciation as of 01 January 2006 - all asset movements (acquisitions, retirements, but not ordinary depreciations) between January 1 and September 30 with their respective dates - already posted depreciation in 2006 until September 30 Then you enter GL movements per month (either you temporarily change the asset reconciliation accounts for direct booking with trans. OAMK, then book with FB01 and finally reset with OAK5, or you book there directly with trans. OASV). This way, your asset accounts (acquisition value and accummulated depreciation) are the same as asset module as of September 30. You can also let the system recalculate the depreciation from the beginning of the year, but then you may end up with a different value as of September 30 than your legacy system calculated. So, I would not recommend it unless there is no reliable source data. Retire Asset with or without Revenue Explain Retire Asset with Revenue and Retire Asset Without Revenue. Asset sale * Without customer Transaction ABAON - in case that a sale invoice is issued and posted in SD (or FI) and asset retirement is posted in FI-AA - Transaction ABAON. * Between affiliated companies - Transaction ABT1N - asset transfer between company codes

* With customer known Transaction F-92 - in case that a sale invoice is not issued and book through SD but in FI-AA - Transaction F-92. * The sale invoice posted in FI-AA - document posted in AA or FI (document type ZN) and issued (printed) by transaction what has to be modiffied. Asset sale without customer - transaction ABAON (old t - ABAO) In case you want system to calculate Gain/loss from sale for you enter Manual value (revenue amount) in specification for revenue. It is not allowed from the legal point of view for France. If you want the asset to be retired in NBV choose which depreciation area (e.g.01 management reporting area required) net book value should be posted. Enter transaction type to specify the business operation you want to make. (e.g. Retirement with revenue 210, Retirement of new acquisition with revenue 260) An asset retirement can refer to an entire fixed asset (complete retirement) or part of a fixed asset (partial retirement). In case of partial retirement enter amount posted, percentage rate or quantity. System calculates the gain/loss from the asset sale and makes posting on gain/loss on sales asset account. The difference (gain/loss) is counted from NBV of the asset and the revenue amount (clearing account e.g.5700990) Retirement without revenue - Transaction ABAVN Retirement due to scrapping, donation, deficit, damage Retirement without revenue is a removal of an asset from the asset portfolio without any revenue, for example, by scrapping. When you use this posting option, the system does not create revenue and gain/loss postings. Instead it creates a loss from an asset retirement without revenue posting in the amount of the net book value being retired.

Retirement without revenue transaction posts NBV to one account specified in account determination for each reason of disposal. Additional account assignments with specific transaction types can be created to fullfill requirements of posting on different accounts for each or some of disposal reasons (e.g. different account for scrapping than for donation). This specific posting is allowed only for book legal depreciation area, for management area account for retirement due to all reasons is the same (e.g.5700000). *-- Milada Mass Asset Retirement or Disposal SAP Functional Modules ==> SAP FICO Explain Mass Retirement. When an enterprise sells a large portion of its fixed assets (such as a plant or a building), it is necessary to post the retirement of all the individual assets which make up the whole. Since the number of affected assets can be very large, the Asset Accounting (FI-AA) component makes it possible to make the necessary postings using mass processing. What is asset retirement? Asset retirement is the removal of an asset or part of an asset from the asset portfolio. This removal of an asset (or part of an asset) is posted from a bookkeeping perspective as an asset retirement. Depending on organizational considerations, or the business transaction which leads to the retirement, you can distinguish the following types of retirement: - An asset is sold, resulting in revenue being earned. The sale is posted with a customer. - An asset is sold, resulting in revenue being earned. The sale is posted against a clearing account. An asset has to be scrapped, with no revenue earned. - An asset is sold to an affiliated company (refer to Manual Posting of Intercompany Asset Transfer/Retirement) There is a requirement to dispose 900 + assets. Can someone please let me know what are the options available? It should be similar to F-92 - Asset Retirement from Sale with customer but should to do mass number.

If it¶s a mass retirement, it¶s possible - but I doubt mass physical deletion of assets. Follow the steps below if you want to do mass retirement : 1] AR01 -> Give your company Now press F8 to execute the same code -> and the asset numbers

2] At this point -> Go to the work list -> create -> Enter in the mandatory tab and select the retirement without revenue -> Enter 3] Enter dates / transaction type -> now you will get a work queue number 4] Go to AR31 and execute the work queue -> Then click the Release button This will work as a mass scrapping of assets. How to asset retirement asap & configuration? There is no specific configuration for asset retirement. For retirement there are 3 ways as following: 1. Scrapping Asset - ABAVN 2. Sale of asset with revenue - F-92 3. Asset retirement without revenue - ABAON Asset retirement is an integral part of asset management. An asset can be retired in following ways :1. By Scrap - T.Code ABAV/ABAVN 2. By sale. In sale there can be following cases :a. with revenue b. without revenue c. with customer - T Code F-92 d. without customer - T Code ABAON How To Configuration in Asset Accounting in FI

These are the steps that you need to do to create Asset Accounting (tested in 4.7 version) : Copy Reference Chart of Depreciation/ Depreciation Areas Menu Path is: IMG> Finanacial Accounting> Asset Accounting> Organization Structures> Copy Reference Chart Of Depreciation/ Depreciation Areas, Double click on Copy Reference Chart Of Depreciation - Click on Copy Icon and update it from ODE to your Chart Of Depreciation and change the description too. Assign Input tax Indicator for Non-Taxable Acquisitions: IMG> Finanacial Accounting> Asset Accounting> Integrate With the General Ledger> Assign Input Tax Indicator for Non-Taxable Acquisition - Save this. Assign Chart of Deprecaition to your Company Code If Co Code is not properly Done then it will give Problems but still save it. :

Now Define the Asset Classes: IMG> Finanacial Accounting> Asset Accounting> Organization Structures>Asset Classes> Define Asset Classes - Click on New Entries and fillout the Page in the blank space where Asset Class is given give the Asset Class GL number and in Description give the name in long and short form, - Go to next level and give the Screen layout Rule number - Give the number ranges 01 and in Status Of AuC click the first Radio button: No Auc Or Summary Management of Auc and in History Status click Manage Historically and save it. - Likewise Create for Building, Plant & Machinery and Vehicles and in case of Asset under Construction Update in Status of - Auc the second Radio Button: Line Item Settlement and - Save it now. Integrate with General Ledger: IMG> Financial Accounting> Asset Accounting> Integration with the General Legder> Define how Depreciation Areas Post to General Ledger and then Assign the General Ledger Accounts IMG> Financial Accounting> Asset Accounting> Integration with the General Legder> Assign G/L Accounts and then Specify Document Type AF and specify intervals 1 3 6 12 Annually. Processing Mass Changes Using a Worklist In Asset Accouting What is the menu path for processing mass changes using a worklist? Selection of field and data to change: (Create Substitution Rule, OA02). This transaction must be run prior to ceating a work list and performing mass changes. Selection of the Assets Involved: (Create a Work List, AR01). This transaction for creating the work list must be performed after OA02 and prior to running AR31. Access the ³Process Asset Mass Change´ transaction by: Quaterly SemiMonthly Posting Annually

Workflow: The work list that is created opens a workflow. By means of the definition of the workflow, the system determines which workers should carry out the following steps:
y y

Manually checking and possibly adding to the work list Releasing the work list and posting the changes.

The system automatically sends the work list to the specified employees. They receive the work list as a task in their R/3 Mailbox.
y y y y y

y

Process the work list (Tools -> Work list -> Edit). Select the work list in your mail in box ("Edit and release work list") Check the assets in the work list created (Process) Release the work list (Release). It is also possible to distribute the steps "Edit work list" and "Release work list" in the workflow to different users. This is possible when carrying out a bulk change by selecting the corresponding work flows when creating the work list. Check the results using the document change list (Assets -> Change).

NOTES: Please note that when you make a change to time-dependent data (such as the assignment to a cost center), you always have to enter the time interval (valid from/to date) in the substitution rule.
y y y

When you enter a new "valid from" date in the substitution, the system automatically opens a new time interval. You can only change one time interval in each bulk change. It is not possible to change several time intervals in parallel. When you make changes to the depreciation terms, you must also enter the depreciation area (AFABE) in the condition.

Periodic Asset Postings ± ASKB Some feedback on using the the Periodic Asset Posting Tcode ASKB By: Syed Saleem In order to use the ASKBN transaction, you have activate the SAP R3 Enterprise Extension. First option in the IMG menu. Requirements: See SAP Note 588364. This allows you to post directly to the ledger without without having to generate a batch-input session. In addition, you can post directly online to the general ledger from the dialog posting transaction from depreciation areas other than the master depreciation area 01. Or you can update the values from a depreciation area to a special ledger using a different accounting principle. I tested the ASKB last year before we discovered that we could activiate the SAP R3 Enterprise and use the ASKBN. Once activated, you will see the ASKBN listed in the menu. This transaction is much, much better to use than the ASKB. Plus it works similar to your deprecaition posting. The only complaint that I have is that you get a "log" in test mode, but it does not create an actual posting log when executed like the depreciation postings creates. In order to use this transaction, you must configure the depreciation area where you are capturing the non-US GAAP asset requirements to post to the ledger in addition to the Area 01 that will automatically post. You will also have to establish an external document type, document number range and a reverse document type (OBA7) with account types allowed for Assets and G/L Accounts. The document type needs to be different from the document type used for the standard depreciation posting (AF) and AA postings (AA). We used AZ. We are also using a number range outside of our standard AA and depreciation document numbers.

We assigned the AZ to number range A4 which is viewed via FBN1. Why and When to use Business Area Can any body tell me why we want to use business area and where it is going to be used, as I know it helps in consolidation and still more? CG.Gopinath Business Areas in SAP are used to differentiate transactions originating from different points/lines/locations in business. Let me give some examples to elucidiate:A company (say, ABC) is a huge company and has a variety of businesses under it. Let us say that it typically operates in 3 different domains like machinery manufacturing, trading and assembling of machine parts. There are 2 options here now 1. Either create different company codes for the 3 business operations (which would be the easiest and require no creativity) or 2.) Create each of these business lines into business areas (the better option). The advantages of using the second option is: 1. You can use these business areas if other company codes require the same areas 2. The configuration is simpler as in case of company code, you would require to go through the entire configuration of creating Chart of Accounts, Fiscal Year variants, posting periods variants and so on. In the business area option, you just need to attach it to the company code and the rest of the details in Business area is attached by default from the company code you are using it in. 3. Using the options in controlling (EC-PCA, Enterprise Controlling, Profit Centre Accounting), you can even draw up Balance Sheets and PL statements for your business areas and hence this is used for management accounting in some companies (like HP, Dell, etc) when it wants to know the operating profits for different business areas/lines. The above was an example when the company wanted to separate entries according to the lines it operates in... the other case could be when it wants to find out profitability during its operations in cities and differentiates these cities into Business Areas...

Business Areas are not much relevant in FI but are much more relevant in CO. Hope this clears. Jacob Joseph You have given a very good example for Business Area. I have questions. If I want the B/s and P&L Account for Business Area wise, I can take it. But, How about those transactions which are not assigned any business area during the document entry. Kotni Let me first be sure of what you are asking. Is it: 1) You want the B/S and P/L statements of transactions carried out in areas other than the business areas defined by you? or 2) You only want to view the transactions that were not carried out in any business area? Whatever were your doubts, let me clarify. If your doubt was the first one, then, in that case, the financial statements will not be available. There are reasons for the same. All transactions in FI pass through G/L accounts. The data in FI is then passed to CO through primary cost elements. According to the settings that you have configured for your controlling area and operating concern, the costs are distributed to the various cost centers (Cost Center Accounting & CO-PA). The costs are then apportioned to the various cost centers (which may or may not be a part of your business areas or may be independent cost centers). Now, with this data, financial statements of the business area are drawn up. For transactions not part of business area, they are transferred to independent cost centers (e.g. like Head Office Salaries, HR, etc) and hence, cannot be drawn up as a financial statement but just as line item displays in your reconciliation ledger (if you have activated it in the CO-OM-CEL {Cost Element Accounting}) [The answer to your second doubt, I hope]. Financial statements of Business areas are unbalanced because not always does the debit and credit entries of a transaction lie in the same business area/cost center; but for cost accounting purposes, they are reasonably sufficient.

I hope this clears. Jacob Joseph Thank you for the reply. I understand I need to give more clearly about my doubt. I want to configure FI and other modules and there is no CO or operating concern. But I want Balance sheet and Profit and Loss Account for each of the business area. As you aware, the business area can be defined above or below company code level. Is it possible to get what I want. Kotni Ravi Kumar In order to generate BS and P&L at business area level you should carry out the following: 1. You should have activated " Enable BA balance sheet" under enter global parametets in FA global settings. 2. You should do configuration under the transaction code "OBXM" 3. You also have run the transaction codes f.50 for P&L and 5.d & 5.e for Balance sheet readjustment. System automatically posts the taxes and reconciliation accounts of NIL BA transactions to BA and tally the trial balance of all B. areas Yerra Rao Your explanations were excellent and precise, but I have a quick question why would one use business area against a profit center as business area data is never precise and getting a balance sheet report via business area is not recommended. Profit center would be better just a doubt please clarify Sabarinathan Swaminathan

Why would I use business area against a profit center?" is a very pertinent one and conceptually necessary. Let me explain to you what a profit center exactly means, both in SAP terminology and in management accounting. In management accounting, a profit center is an area or department from where the management wants to find out the return on investment or ROI, as the accountants know it. The concept in SAP is similar as it is used by management to find out the ROI. On the other hand, business areas are just segregation of business transaction origins. So, a certain business area can have more than one profit center within it. Both have their unique uses and both have their unique features. Using the above understanding, you can easily work out where you would use business centers and where you would use profit centers. Hope this clears, Jacob Joseph Thanks for the explanation its good thanks Sabarinathan Swaminathan Creating and Maintain SAP Business Area You can set up several business areas for each client so that the system can assign the postings made in all company codes defined in this client. To ensure consistency in document entry, you should give business areas the same name in all company codes. Goto transaction SM30 and specify the view V_TGSB To maintain to business area click the Maintain button. Fastest way to create a SAP Company Code SAP recommends that you used EC01 to copy an existing company code to a new one. This has the advantage that you also copy the existing company code-specific parameters. If necessary, you can then change certain data in the relevant application.

This is much less time-consuming than creating a new company code. Following are the steps to create a new company code:Use EC01 to copy an existing company code. This will ensure that you will not missed out any customizing settings. Tcode is OX02 or Goto tcode SPRO SPRO -> SAP Ref IMG -> Enterprise Structure-> Definition -> Financial Accounting -> Edit,Copy, Delete, Check Company code OKKP Assign company code to OBY6 Define company code OB62 - Assign company code to chart of accounts the controlling area global parameters

Then check the following if needed, there may be other areas depending on your needs: OBA4 FI Tolerance Group FBZP Maintain Payment OBYA - Inter Company code clearing if being used Meaning and Creation of Company codes Which is the best method to create a company - copy an existing company code or copying from country templates. What is the process involved in copying from a country template. For configuring SAP, generally three steps are required 1) create company 2) creation of 3) currency and 4) Assign company code to company name and company country address code setting code. for Users program

In same organisation i.e. in one company more than two company codes are maintaing, then its better to copy from other company code from ec01, later on you can customised/change specific settings according to client requirements. If your want seperate setting in your own company code, that time its better to configure by creation rather than copy

In above that is your choice and need for reqirement. Otherwise you can upload certain data by creating company code. Rama Krishna

Now my doubt is What is the Difference between Company and Company Code? Company is the smallest organizational unit for which individual financial statement can be drawn according to the relevant commercial law. Company code is the smallest organizational unit for which complete, self-contained set of accounts can be drawn up for external reporting purposes Shyam Company - A company is a legal entity or a organisation which is to carry out a business and under a company you have lot of sub companies. For Example Tata is a company TCS,Tata Power,Tata Steel, is a company code under a company TATA Under Company code you have business area associated with it where the business areas may be scattered in different parts of the world where you can have reporting done for different business area or you can also call it as Profit Centre. Sakote Sanjay

A company is the Group of company and company code is the all the companies for which u want seperate books of accounts. Company codes are assigned to company for consolidation purpose. example :- reliance is the company and RIL,Reliance infocomm,Reliance Petrochem etc are the company codes. All these co.codes are assigned to reliance company for consolidation purpose. Gagan

Along with that technical difference is COMPANY cosists of 6 digit alphanumeric key where as COMPANY CODE cosists of 4 digit alphanumeric key. Mahesh Company means group company for example : Tata Group Company code means one of Tata Chemicals, TCS, Tata Steels etc. Kris What is Valuation Area and Valuation Class By: Tulsi What is Valuation Area? How is it linked with Valuation Class? What is the significance of Valuation Area? Valuation areas are nothing but the level at which you want to valuate your materials. SAP provides two levels of valuation Plant level and company code level. For example: Valuation at plant level: Suppose you have two plants one in Hissar and one in Andhra Pradesh, Then of course you would like to valuate the rawmaterials at plant level as because you have got transportation cost and taxes etc to account for. Valuation at company code level:Here you valuate all your material in same way. In One client valuation areas can either be set to plant level or company code level. Once you have made this setting this cant be changed Valuation classes are linked to valuation class in Tcode OBYC If your valuation area is at plant level then in OBYC you will find a coloumn for Valuation modifier you can provide your plant there. For example: Valuation plant 1 Mod 3000 Valuation 200130 class Account the company of its group ex:

What is valuation class? Valuation class it is used in FI and MM integration. It determines the g/l accounts to be posted automatically (Ex Raw materail or Finised goods). In material master we specify valuation class: - for valuation class, we assign g/l accounts based on nature of transaction, - at the time of goods receipt/ issue, stores person enters movement type, - our a/c's will be updated automatically based on account assignment to valuation class which is specified in material master. What Is Valuation Class, Movement Types, Transactions Key Valuation class for example: Raw material, finished goods, semi-finished goods and maintenance parts. Movement Good Good Scrapping Good Initial receipt movement issue to production movement of Good movement delivered to customer movement uploading of sctock movement types: type=101 type=261 type=551 type=601 type=561

SAP entry The transaction key GBB need to be updated, is issued for various offsetting posting entries. Select debit/credit indicator, general modification indicator, valuation modif and valuation class indicator. In this case you need to update the transaction key VBR with the raw material consumption account. 3) Good receipt is made for Accounting Finished Change in finished good (Credit) finished good good against production order entry (Debit)

SAP entry in transactionkey BSX the valuation class finished good will attach with the finished good GL code. For change in finished good you update transaction key GBB and general modification key AUF 4) Good issues are posted for Accounting Cost of Good inventory of Finished Goods (Credit) sales movement Sold type=601 entry (Debit)

all you need is to configurate the revenue account. SAP provides following 6 ways of determining the GL accounts in SD. Appliation (key for sd application) account determination types chart of accounts(from FI system) Customer account assignment group Material account assignment group - Account key Tcode=VKOA Maintain the GL account for the combination of Material group/account key Double click and select new entry. enter GL account enter chart of account enter material group enter account key enter condition type enter application enter sales org click save. That's the system look into this table see the combination and if the relevant combination exists in tne transaction it will debit the customer account and credit the revenue account defined. Inter-company Clearing with Customer / Vendor Posting Keys xplain the clearing process for inter-company between two company codes within ECC using customer and vendor posting keys. You can post the cross company code postings even between two controlling areas. The system does not prevent to post documents between two company codes in two controlling area. Need not necessarily they should be under one operating concern. Provided you have to make sure that you have followed the following points: In OBY6 - To company codes must be assigned to same Company, meaning that you mus thave created a Company and that company must have been assigned to these two company codes. OBYA - You should maintain the clearing accounts in both the company codes. Meaning that you are posting one leg in one company code and the other leg in the

other company. Therefore, it is required to have the missing legs in each company code. Company Code1 - Posting Key 40 - Clearing Account Company Code1 - Posting Key 50 - Clearing Account Company Code2 - Positng Key 40 - Clearing Account Company Code2 - Posting Key 50 - Clearing Account NOTE: Need not necessarily you have to use posting keys 40 and 50, you can use the posting keys related to vendor and customer also. OB08 - In case if the two company codes have different local (company code) currencies, you may maintain the exchange rates. You can now go to F-02 and post a cross company code transaction giving the first leg in first company code and the second leg in second company code. Missing leg in the first company code will be posted to the GL Account mentioned in OBYA and the missing leg in the second company code will be posted to the GL Account mentioned in OBYA. That means you will have four line items overall. The system will post three document. Document 1 in First Company Code Document 2 in Second Company Code and Document3 - Cross Company Code Document. The cross company code document consists of the first company code document number plus company code plus last two digits of the fiscal year. Company Code Not Assigned to Country Getting an error while posting GL A/c i:e FSOO. The Error is "Company code not assigned to country or country to calculation procedure".

Do

the

Following

Customisation

:

Step 1: Check Calculation Procedure IMG >Financial Accounting>Financial Accounting Global Settings >Tax on Sales/Purchases>Basic Settings >Check Calculation Procedure Tax procedures are available in SAP for most of the countries. In case a tax procedure is not defined for your country proceed as follows: In this go to Define Procedures Check for TaxINJ or TaxIN

If it does not exist create a new one by copying it from TaxGB Step 2: Assign Country to CalculationProcedure IMG >Financial Accounting>Financial Accounting Global Settings >Tax on Sales / Purchases > Basic Settings >Check Calculation Procedure In this step we assign the calculation procedure created in the earlier step to the country. The country is the country of the company code. If you are living in India, then your country of the company code is India. Step 3. Define TaxCodes for Sales and Purchases IMG>Financial Accounting>Financial Accounting Global Settings >Tax for Sales and on Sales/Purchases >Calculation>Define Tax Codes Update Define Go to two Zero Tax the Codes input and and Output Assign following:Tax GL codes. Account.

OB40

Transaction

code

Do this your problem will be solved.

Report to see Business Area with Cost Center Which tcode standard report to see Business Area with cost center created in my company?

Used tr code : KSB1

On screen ³Display Actual Cost Line Items for Cost Centers´, enter cost criteria to limit the report. To further restrict the information in the report choose the ³Further Selection Criteria´ button. The following screen will appear:

Change in Company Code Currency You are a live site in China using company code currency as "RMB". The client would like to change the same to "JPY". How to achieve the same and the impact of the same? This will be a big task for you. We did the same project before. What's your strategy? You`ll use the same client for the new currency, or you`ll have a brand new one. What we`ve done before was creating a brand new environtment. These were our strategies : 1. copied all the customization in a new client, no transactions and no master datas. so you`ll have the same settings with your live system. 2. created a new company code with the new currency, and copy all the customization. this step was to minimize our step in recustomization. 3. uploaded all the master datas...and started to do a new transaction. thats what we did. and fortunately our client was satisfied w our job:D The suggestion is don't do that in a live system or else you`ll have a big problem then.

Explain The Difference In Currency Explain the difference between group currency, parellel currency, hard currency and index based currency. Explain the context in which we use these. Definition for different currencies: Object currency - CO - A currency defined in the master record of a Controlling object (cost center, internal order, and so on). When you create a Controlling object, the controlling area currency is defaulted as the object currency. You can change this. Transaction Currency - the currency in which a business transaction is processed and booked. The business transaction can be posted in the transaction currency as well as in the local currency. This can occur when the trading partners use different local currencies. The transaction currency can differ from the controlling area currency and the object currency. The SAP system can perform currency translations using a predefined average exchange rate. Hard currency - Hard Currencies are used in countries with high inflation to improve the value of transaction. When a hard currency is selected, the document is automatically updated in the local currency and the hard currency. The config for hard currency is done at the country level Group Currency - Group currencies are defined at the client level in table T000. Group currencies are used to enable cross-company postings in controlling for company codes that use different company code currencies. Index ±Based Currency - Index based currencies are used for statutory reporting purposes for subsidiaries in some countries that have an extreme amount of inflation. Parallel currency - For company code, we may have one local currency and up to two parallel currencies in the system. All documents are posted in both the local and parallel currencies. A hard currency is one type of parallel currency.

Currency Decimals Default and Places in SAPr3 What are the list of countries in R/3 which do not have decimals in their currencies? By : Norman Depending upon client's requirement, you can set the control of currency decimals in oy04. In the DB, SAP stores all amount values with 2 decimal places. But when SAP reads it, it interprets it based on the currency associated with the amount field. Try the FM BAPI_CURRENCY_CONV_TO_EXTERNAL. Pass the amount obtained from DB and the currency. This will give you back the actual interpreted value. Which table we can get the number of decimal places for a particular currency type? Eg: USD has 2 decimals JPY has 0 decimals Check the table TCURX. Based on user profile you can get the currency format from USR01. Use This Code: It takes care of decimal notation based on user profile. What ever may be the user profile for decimal notation. FIELD_NUM = 1,233.50 OR FIELD_NUM = 1.233,50 OR FIELD_NUM = 1 233,50 ***************************************

SELECT SINGLE DCPFM FROM INTO VAR_DCPFM WHERE BNAME EQ SY-UNAME. IF VAR_DCPFM EQ REPLACE ALL OCCURRENCES OF ',' IN: FIELD_NUM WITH ''. TRANSLATE FIELD_NUM USING ELSEIF VAR_DCPFM EQ REPLACE ALL OCCURRENCES OF '.' IN: FIELD_NUM WITH ''. TRANSLATE TRANSLATE ELSEIF TRANSLATE ENDIF. FIELD_NUM FIELD_NUM VAR_DCPFM FIELD_NUM USING USING EQ USING

USR01 'X'. ','. ''. '.'. ',.'. 'Y'. ',.'.

*************************************** This code FIELD_NUM = 1233.50 will result into :

How To Set Multiple Currencies For Company Code or Group Go to OY01 Select your country key and double click on it. In that mention your hard currency key and index based currency keys. Then go to ob22 IMG Menu Path: Financial Accounting --> Financial Accounting Global Settings --> Company Code --> Parallel Currencies --> Define Additional Local Currencies Give currencies for 2nd and 3rd local currencies. Here you need to give 40 in the 2nd local currency and 50 for the 3rd local currency. Exch Source Type of transalation: 2 SAVE Rate Curency type: : M 1

Remarks: I am going through a decision process right now with my client regarding this configuration. When my client first came up on SAP 9 yrs. ago, they only had 1 currency. Since then they have made acquisitions and now have multiple company codes with different currencies. What I have found out is that once you set up a Company code for only one currency you cannot turn on Multiple/Parallel currencies in that company code. Fixed Assets are affected and so are all the AP & AR transactions. AR & AP can run into issues when it attempt to create and additional posting to the Group Currency because of Exchange Rate differences. In my opinion, I beieve it was a major mistake not to have turned on Additional Local Currencies from the beginning. What this does is allows you to establish a "Group Currency" in the FI Module. In table GLT0 you can see that there are columns way out to the right when you view postings via SE16 in columns titled AMOUNT. These are the group currency postings. You can then generate reports that pull this detail for consolidated reporting. Real Time Foreign Currency Revaluation

Explain about the entire real time process for month end for foreign currency revaluation. By: Murthy Let me explain the process in Detail. First you need to understand Process of Revaluation. I am not going into Customisation Paths. Valuating Foreign Currency Balance Sheet Accounts Your foreign currency balance sheet accounts are valuated as part of the foreign currency valuation: - The balance of the foreign currency balance sheet account, that is, the balance of the G/L account managed in a foreign currency, forms the basis of the valuation. - The result of the valuation is posted to the valuated account. - The exchange rate profit or loss from the valuation is posted to a separate expense or revenue account for exchange rate differences as an offsetting posting. Illustrations The balance of your fixed term deposit account (foreign currency balance sheet account) has a balance of 1000 USD and 1700 DEM (see the following illustration, 1).

An exchange rate devaluation occurs at the time of the valuation. The account balance is now valuated with an exchange rate of 1.6300. The valuation programs posts the exchange rate difference to the fixed term deposit account and to the account for exchange rate differences (see following illustration, 2). As a result of the valuation, a difference arises in your local currency. However, only postings in the foreign currency specified in the master record (account currency) are permitted to foreign currency balance sheet accounts. The exchange rate difference is therefore posted with a foreign currency amount of zero, and a local currency amount equal to the exchange rate difference. To valuate your foreign currency balance sheet accounts, you must define expense and revenue accounts for exchange rate differences. Valuation of open items in foreign currencies All open items in foreign currency are valuated as part of the foreign currency valuation: - The individual open items of an account in foreign currency form the basis of the valuation, that is, every open item of an account in foreign currency is valuated individually. - The total difference from all the open items in an account is posted to a financial statement adjustment account. The account therefore retains its original balance. - The exchange rate profit or loss from the valuation is posted to a separate expense or revenue account for exchange rate differences as an offsetting posting. Illustrations You have posted a receivable in the amount of 1000 USD, at an exchange rate of 1.7000. The local currency is DEM. The system saves the receivable in local currency in the customer and receivables accounts (1700 DEM) (see following illustration, 1). An exchange rate devaluation occurs at the time of the valuation and the exchange rate is now 1.6300. The receivable in the amount of 1700 DEM remains in the receivables account. The program posts the reduction to the receivable (70 DEM) to a financial statement adjustment account and the exchange rate difference to the account for exchange rate differences from the valuation as an offsetting posting (see following illustration, 2). The receivables account and the relevant financial statement adjustment account are reported in one item in the financial statements. This means that the amount of the receivable in the financial statements is the valuated amount (1630 DEM).

To valuate your foreign currency balance sheet accounts, you must define certain accounts. You define these accounts per reconciliation account: - Expense and revenue accounts for the exchange rate differences from the valuation. - A financial statement adjustment account, reported in one financial statement item with the valuated account. The valuation is therefore not carried out in the account itself; instead, it is posted to a separate account. This is necessary for example, since the accounts for receivables and payables are only updated by postings to the customer and vendor accounts. However, the valuation must be carried out in the G/L account area for the relevant reconciliation accounts. When carrying out a valuation of open items, you can configure account determination according to the currency type, so that, for example, currency gains in the local currency and in the group currency are posted to separate accounts. You have the following options for valuating open items in foreign currency: Saving the exchange rate difference per document You can define that in addition to being posted, the exchange rate differences are saved per document. To do this, select the indicator Valuation for FS preparations on the Postings tab. The exchange rate differences saved in the document are taken into account for payment clearing: Unrealized exchange rate differences When you valuate open items in foreign currency, the exchange rate difference determined is posted as an unrealized exchange rate difference. Realized exchange rate differences For an incoming payment, that is, when you are clearing the open items, the current exchange rate is determined. The unrealized exchange rate difference determined from the line item is taken into account. Example If the first valuation results in an exchange rate difference of 30 DEM, and the current valuation results in an exchange rate difference of 10 DEM, an exchange rate difference of 20 DEM is posted and 10 DEM is saved in the line item as the final valuation difference. Reversing exchange rate difference postings You can define that the exchange rate differences posted are automatically reversed one day after the valuation run by an inverse posting.

You therefore have the option of determining exchange rate differences at any point in time without this valuation being taken into account for the creation of financial statements or for payment clearing. To do this, select the indicator Reverse postings on the Postings tab. FI Document: List of Update Terminations To analyze the FI update error posting, make use of report RFVBER00, FI Document: list of update termination. Execute the report with transaction code SA38 or SE38. CO-PA Transfer of Incoming Sales Orders -----Original Subject: CO-PA From: sarita Hi, In IMG, I assigned 1. value fields 2. quantity fields and activated transfer of incoming sales orders for "CO-PA transfer of Incoming Sales Orders". In CO-PA information system, I defined and executed a report (record type A, actual data). The actual line item showed revenue amount 36,000. But when I drilled down to the value fields. The system showed revenue = 0. Do I miss something in Configuration? Best Sarita regards, Transfer of Incoming Message----Sales Orders

P.S As we are not implement PP/PC, I do not maintain "valuation using prodcut cost estimates" in CO-PA configuration. -----Reply Subject: Re: From: Peter Fisher CO-PA Transfer of Incoming Message----Sales Orders

Sarita... As the data is appearing in the PA tables but not on yr report. One last thing that you can check is the whether the report is looking at current data or a 'summarisation level'. If you are only looking at the data fm summarisation levels , then you will need to refresh the data in the summarisation levels by running transaction KEDU. Otherwise any new delta items will not appear in yr report. Check this in Report change / extras / performance (v4.0a) or summarisation in V3. Peter Fisher -----Reply Subject: Re: From: Izi Rozov Dear Sarita, Is your operating concern I can't think of anything else. just 1. 2. to There The make sure costing based or account based ? CO-PA Transfer of Incoming Message----Sales Orders

lets go step by step: are transactions in the system. report is created as follows: characteristic = customer Key figure = revenue, COGS, order qty variables = period from = xx.199x period to = xx.199x Plan/act.ind. = 0 version = not applicable for actual record type = A

3. Value and quantity fields were assigned in IMG under ACTUAL POSTING --> SD INTERFACE. If all the above is true and it still doesn't work, you should kick the computer in the b... Izi

-----Reply Subject: Re: From: sarita Dear Izi,

CO-PA

Transfer

of

Incoming

Message----Sales Orders

Thanks for your help. You mean, on your report , it also does not work with record type "A"? On my report, no matter with record type "A" or "F", it does not work. For you information, I created a new report on IDEA (SAP demo system) with the same settings, it works with record type "A" and "F". So it might not cause by the record type. Sarita -----Reply Subject: Re: From: Izi Rozov Hi Sarita, The problems lies in the way you created the report. It is obvious that the system works. You did pick up the revenue. Did you create a basic report or a form report ? If the problem persists, send me a detailed description of each line and each column and I'll try to find the solution. Izi Rozow Difference between Withholding Taxes and Extended Taxes What is the difference between Withholding Taxes and Extended Withholding Taxes? Please read this for the same. I have mentioned prominant difference between the two. Withholding Tax Classic Withholding Tax Extended Withholding Tax (from release 4) Difference between the two (All release) CO-PA Transfer of Incoming Message----Sales Orders

Withholding tax is calculated and posted to the appropriate withholding tax accounts at different stages, depending on the legal requirements in each country. As a rule, withholding tax is posted at the same time that the payment is posted, in other words the outgoing payment (Accounts Payable) or incoming payment (Accounts Receivable), is reduced by the withholding tax amount. In certain countries, such as Brazil, the Philippines, and Spain, withholding tax can or must be posted when the invoice is posted. This means that the amount receivable or

payable is reduced by the withholding Extended withholding tax supports both concepts.

tax

amount.

The key concept in extended withholding tax is the distinction between withholding tax type and withholding tax code. While withholding tax types represent basic calculation rules, specific features of these rules - in particular the percentage rate are represented by the withholding tax code. You can define any number of withholding tax codes for a given withholding tax type. If a particular transaction requires more than one kind of withholding tax, this is covered in the SAP System by defining more than one withholding tax type. When entering a line item, you can enter withholding tax data for each of these withholding tax types. SAP FI Tips by : Rahul Gupta How To Configure Withholding Tax? Steps for extended withholding tax : 1. Check withholding tax countries 2. Define Ex. Withholding tax types for invoice postings 3. Define Ex. Withholding tax codes 4. Formula for Ex. Withholding tax calculation 5. Assign Ex. Withholding tax types to Company code 6. Activate Ex. Withholding tax 8. Create a G/L a/C for Ex. Withholding tax 9. Define A/C for Ex. Withholding tax (DBWW) 10. Make changes in Vendor master (XK02) 11. Maintain Company Code Settings: Path: IMG -> Logistic -> General -> Taxes on goods movement -> India -> Maintain company code settings 12. Activate country version for specific fiscal year position Path: IMG -> FA -> -> FAGS -> Taxes on sales purchases -> Basic Setting -> India > Activate country specific for fiscal year position Tips by Pratiksha What is Central Value-added Tax and how it is configured? What is CENVAT (Central Value-added Tax) and how it is configured?

Anil Before I am going to explain what is cenvat, you have to under stand the Indian tax Central Excise Duty (BED). It is called as basic excise duty. Every manufacturer is liable to pay the excise duty in various kinds namely Basic Excise Duty, Special Excise Duty, Additional Excise Duty etc., Just think over a product which is reached to a end user, how many manufacturing activities are done. So to reduce the tax burden of the end user, the Govt. of India introduce the MODVAT scheme which is now called CENVAT scheme. Based on this, if any manufacturer purchased a material, which is duty paid, and if it is used for his further manufacturing activity, he can avail this as credit in his book based on the Central Excise Invoice. At the time of selling his manufactured goods, he is liable to pay the excise duty. He can adjust the credit which he has taken into his book and pay the rest. For example: CENVAT availed at the time purchased various goods Rs.20,000 alone) CENVAT payable for his product at the time sales He will pay only Rs.5000 through cash deposit in PLA. (EXcise duty Rs.25,000

This customizing are in SAP CIN Module. If you are having the CIN CD, go through. K. SUNDAR Good Explanation. In addition to this. The CENVAT means, Tax on Value Addition on the goods manufactured according to Central Excise & Customs Act Difinition. Here the value addition means the Additional Services/Activities etc. which converts the Input in to Output, and the output is newly recognised as per the this act as Exciseble goods. Like this the discussion is goes on for definition. In 4.7 SAP version, there is no CIN version seperately, it is available with Standard SAP it self. I hope Mr. Anil Gurjar's query is completely answered. Kotni Ravi Kumar Entering Invoice Receitps for PO

The Invoice Verification component is part of the Materials Management (MM) system. It provides the link between the MM component and the Financial Accounting, Controlling, and Asset Accounting components. Invoice Verification in Materials Management serves the following purposes: - It completes the materials procurement process - which starts with the purchase requisition, continues with purchasing and goods receipt and ends with the invoice receipt - It allows invoices that do not originate in materials procurement (for example, services, expenses, course costs, etc.) to be processed - It allows credit memos to be processed, either as invoice cancellations or discounts Invoice Verification does not handle the payment or the analysis of invoices. The information required for these processes is passed on to other departments. Invoice Verification tasks include: - Entering invoices and credit memos that have been received - Checking the accuracy of invoices with respect to contents, prices, and arithmetic Executing the account postings resulting from an invoice - Updating certain data in the SAP system, for example, open items and material prices - Checking invoices that were blocked because they varied too greatly from the purchase order An example on how to enter an Invoice Receipts :Transaction code MRHR - MM Invoice Verification and Material Valuation First Screen Document date : Date of PO Company code :

Document type : There are two standard document types in the standard system: RE The invoice is posted gross RN - The invoice is posted net Posting date : Date of open period Currency :

Purchase Order : PO Number

Second Screen Posting Amount : Enter the gross invoice amount Enter and then click Simulate button Click Adjustment on/off button Click Edit -> New item -> G/L Account a) Enter the G/L Account Number and click whether Debit or Credit b) Enter the Amount and Cost Center Repeat Step a) and b) if you have additional G/L Account Number There must be no Variance and Balance must always be ZERO before you can save the entries. Tax code :

Using 1099 MISC Reporting In order to use 1099 MISC reporting is something that needs to be configured or set up in the vendor master records? I am trying to run the report and I don't get anything. To flag a vendor in SAP as a 1099 vendor, two fields need to be populated. 1. On the Control screen of the vendor master, populate either "Tax Code 1" field with his social security number if his social security number is his tax id. or "Tax Code 2" field with his corporate tax id. if he has been issued a corporate tax id. Input either of the two in their correct format i.e. social security as xxx-xx-xxxx or corporate id as xx-xxxxxxx. 2. On the Accounting Info. screen, populate the "W.tax code" field under the "Withholding Tax" box with the value "07" if it is a US vendor or "42" if it is a foreign vendor. These are the two fields that specify a vendor as being a 1099 vendor.

Any posts done before this changes were implemented will not show on 1099. You will need to run program RFWT0020 to flag 1099 items retroactively. ...and/or you can change the "Document Change rules" for BSEG-QSSHB and BESGQSSKZ for account type "K" so that you can change the Withholding tax code after the line item has been cleared (i.e. after entering the required information in the vendor master record as the user above has recommended) (Refer to OSS Note: 363650). But if you use MIRO to post invoices, you might want to look at Note 482245 too... In SAP v40b, the new 1099 report is RFW1099M. It is a neat report since it merges all the three reports that are listed in the AP info system under the withholding tax.

In my system the witholding tax code field shows only one option Y (back-Up Witholding) instead of 7 and 42. ALso it gives me message "Extended witholding tax functionality is not active". Do I miss some settings on the global level, or I just need to update the vendor master records? We are on 40b. If you do not have any w.tax code, you can create them in Tcode OBC7. But I have seen standard w.tax code on this screen provided by SAP. Pl. note that you may only be able to see the w.tax code on the vendor master if you are in change mode. For some unknown reason, when you are in display mode, SAP tells you that there are no w.tax codes. The first report in 4.0b gives all the correct 1099 vendor numbers as well as the error list of incorrect vendor numbers. The second report gives all the 1099 line items by vendor posted during the year. The third report lets you print the actual form for IRS/vendors and also lets you send the file electronically to IRS.

You mentioned running RFWT0020 - what exactly does this do? I have the same problem that our A/P staff did not update some vendors with the appropriate 1099 data. Now we are getting the data needed - I usually have someone in our IT dept.

create a spool manually for those vendors. Will the program above update our vendors' transactions with 1099 info (assuming the vendor master has been updated)? Yes. This report flags all the past vendor line items as 1099 items retroactively. FYI, we're on 4.0b. One thing that is peculiar about this report is that on the selection screen, you need to put 00000000 to zzzzzzzzz in the vendor number field otherwise it does not flag any records (at least that's what it did with our records). Simple Overview of Product Costing SAP Product Costing deals with Plan Costing + Actual Costing of Finish products or Services. CO comprises Product Costing + cost accounting integrated with FI. It uses Integrated Cost Accounting. Product costing also has 2 phases depending on the Mfg Scenarios. If you are a normal mfg comp, making goods to stock & sale, you have to first do planning of the costs of products initilally as a STD COST of a product. This is used in many phases in SAP CO acounting. In simple terms, you cost a product by different methods depending on different LIFE CYCLE phases of product. These are Development of new product. Growth stage by modifying it. Mature stage (mass prod). Decline Retirement of that product from Mfg+Mktng) The whole CO process starts with this PLANNED costs of products & ends with totalling the STD Costs for Actual Production. This is a simple Std cost Accounting system, in which the end result is calculating Variance bet Planned & Actual & analysing those for further corrective actions. Product costing is well integrated to FI, but only where overhead cost accounting is used. Otherwise normally it used only for settlement. All these actual costs of Prod are finally settled/offset to FI or Profitability segments. SAP CO is a very vast & complicated module of all. It needs deep understanding of the subject. This give you an overview glimpse of SAP CO. Difference between Cost Centers and Internal Orders

Would any one please tell me that 1. What is the basic difference between Cost Centers and Internal orders? 2. I understand that their functionality is same like assessments, distribution etc. then why there are divided into Cost Centers and Internal orders? 3. How the data flows from Cost Centers and Internal Orders? ie is it first into Internal orders then to Cost Centers or Vice versa? or else the data is maintained independently? 4. Does settlement means running the Assessment cycle and distibuting the costs to various cost centers from an internal order? 5. How you determine the cost of an Order or cost for an order? ie how an Cost in Order is determined? A cost center as you will know is for fixed reporting for a long time span as part of your company structure (cost center usually = department or work center). An internal order is used to accumulate cost for a specific project or task for a specific time period. An internal order is therefore used for a short period with a specific deadline. Your internal order will usually settle to cost centers (and not visa versa) according to the settlement rule in the order setup. An internal order can therefore be used to group all the expenses incurred to plan and hold a conference over a 3 month period. The order can be settled on a monthly basis to cost centers. When the conference is finished the order can be settled finally. The cost of the conference will then be spread over 2 or more cost centers, but can be viewed in total on the internal order when needed. It is important to understand the difference between a settlement and an assessment cycle. An assessment cycle distributes costs from one cost center to various other cost centers. You cannot assess from a cost center to an internal order nor visa versa. Assessment cycles are only between cost centers. Settlements are used for orders. In the setup of each order is a "settlement rule". In this settlement rule you tell the system to which cost centers the cost in the order must be settled. Typically, you will execute the following procedure at month-ends: 1. Settle all orders - this will settle all costs on orders to cost centers.

2. Run assessment cycles - Now that you have al costs against cost centers from your orders, you can start distributing costs between cost centers with assessments. Costs are posted to an order. When you process a purchase order you post to the internal order and not to a cost center. The same applies to journals in FI. You will post the costs to the order and not to a cost center. You will then settle the order on month-ends to post to the relevant cost centers. It is very important to settle these orders otherwise FI and CO will not balance on your system. Internal orders can also be used as "statistical" orders. This is also specified in the setup of the order. You do not have to settle statistical orders. When posting costs, you will post to the cost center and the order simultaneously. Both have to be specified when posting journals or purchase orders against statistical orders. Populating Transaction Type during Order Settlement You have an internal order that you want to settle to a balance sheet account. This accounts field status makes the transaction type (BSEG-BEWAR) required. During settlement you receive error message F5 808 stating that this field is status initial but the field is required. This field is not available to you in the settlement rule definition. Is it possible that this field is suppressed? You could not locate a means to display or require it if so. You attempted to resolve this using a substitution that would popluate the transaction type field. However, during execution you did not hit the breakpoint you put into the user exit. How to overcome this issue? You can change the requirement of the field in the "Field Status" of the account (Financial Accounting -> General Ledger Accounting -> Business Transaction -> G/L Account Posting -> Carry Out and Check Documents Settings -> Maintain Field Status Variants) or In transaction OB41 where you define posting keys and its "Field status". Both "Field Status" are maybe differents, but if in one of them the field is like "required entry" you have to change it. But if you are posting a fixed asset account, you will need this field completed because it defines the movement you are making. What is Production Order Settlement?

Settlement is nothing but offsetting the costs to the FI portion. CO objects carry costs, which needs to be re-assignd to the G/L accounts where it comes from. CO never generates any data, it only tracks the same onto some objects which are analysed for definite purpose of tracking the resources which are debits in FI as costs in G/L). In simple words, the flow is like following 1. Direct Costs are incurred ( like material consuption ) in form of issues to prod orders. These are captured in G/L. Whenever you issue, consumption account is debited. But are also debited to prod order as Consumption...Dr Inventory.......Cr 2. Indirect costs are incurred in form of debits to Cost centers in G/Ls. These are actually to be allocated & absorbed in Products via Prod Orders. So it is allocated to prod orders via diff media like costing sheet or Indirect activity allocations. Here again Prod order is debited with some amount. When the costs are incurred these should be transffered futher when the order is closed or deliverd to stock. So whenever you deliver the order, the follwing entry is generatedInventory....Dr Cost of Prod /Mfg Variance.....Cr If your Fin Goods' predetermined cost are same as that of actual costs incurred, there will no price difference account affected. But when your plan cost ( target cost ) & actual costs are differnet, the difference is OFFSET or SETTELLED to price diff accout asCost of Price diff acc..........Cr Prod / Mfg Var....Dr

Note that Price diff accont is not created as COST ELEMENT. If actual cost is less than target cost, entry would be reverse. How does one Deactivate a Cost Center

How does one Deactivate a Cost Center? I can find a tcode to Activate an Inactive one but how do I deactivate a CC. Or is it so simple I cannot see it... Marios Go to KS02- Change Cost Center. Go to the Control Tab. Tick on the checkbox for desired transaction activity you want to lock. Any postings made against the cost center under locked activity/ies will not be allowed. Tiongco, Jezel D. Thank you, I knew I could block the postings but I want to somehow make the Cost Center Look Inactive. To explain: In transaction OKEON (Change Standard Hierarchy) I have Green Dots for Active CC's. The legend (attached) says a Red Dot is for Inactive CC's. How do you do that? Marios Hi Marios, If you want to change the status to inactive, the only optioin as far as my knowledge is concerned is to change the validity period. when you double click the cost centre, details of cost centre will be displayed at the bottom by T code OKEON and you will find the status of cost centre there, just right of that you will find button to change the validity period, change the period to some future date then it turns to inactive status. Kittu Excellent! It works. Thank you very much. I had changed the Validity Period before but I set it to start right where the previous time horizon ended so looking in the future this was always active. Requires an Assignment to a CO Object

The first time Account 820290 was only created in FI as a primary expense. After that this account was created in CO too as a secondary expense and any posting will appear an error: Account 820290 requires an assignment to a CO object Question : How to correct this account back to FI only and not to appear in co? Note Account 820290 Message no. KI 235 requires an assignment to a CO : object

Diagnosis You have not defined a CO account assignment for an account that is relevant to cost accounting. System Account 820290 is defined as a cost This means that you must always specify a CO account assignment. Procedure Enter one of the following CO account assignments Order Cost center / cost center/ activity type Sales order item (for a project or cost relevant) Project / WBS element Cost object (Process manufacturing) Network/ Network activities Business process Profitability segment Real estate object The posting row affected is 000, account 820290. First, if G/L account was created in FI, you can only create primary cost element in CO. Secondary cost element can only be created if no account exists in FI. Second, if you created the primary or secondary cost element in CO, you have to assign CO account assignment. Response element.

You can delete cost element in CO (KO04) if dependent objects found. Third, when you create cost element in CO, documents would be also created in µCost center accounting¶ and µProfit center accounting¶ when posing in FI. If no cost element exists in CO, no related documents would be created in CCA and PCA. Difference Between Primary and Secondary Cost Element Explain the difference between primary and secondary cost element? With an example. Primary cost elements are like materail costs, personnel costs, energy costs... where a corresponding GL account exists in FI..to allow costs to flow... Secondary cost elements are like production costs, material overheads, production overheads, they can be created and administered in only CO. These are used in internal cost allocation, overhead calculation, settlement transactions., it does not flow to FI... General ---------------------------------Basically, cost element are carriers of costs. Cost Element

Primary Cost Element -------------------------------When cost element carriers cost between FI and CO they are called Primary, the link is established GL A/c = Cost element(Primary). A question may arise as to whether all GL accounts are cost element, it again depends upon the business requirement, where COPA is active then revenue account (GL) are also cost elements, where COPA is not active then revenue account (GL) should not be made as an cost element. Example.... Again cost of goods sold particularly in VAX (make to stock) is not an cost element, where the same COGS in VAY (make to order) is a cost element. Price Difference account should not be made as cost element. Entry while booking expenses Travel Expenses A/c with Cost Centre Dr. Rs.YY (will be a GL A/c and cost element) - entries flows to CO thru FI To Cash A/c Cr. Rs.YY

Secondary Cost Element ------------------------------------When cost element carries cost with in CO, then they are called secondary cost element. Example.... Take Product Costing --------------------------------------------------On manufacture of the goods the cost of the above product (production order) is arrived at accumulating material cost + operational cost + overheads (%), additive cost if any. The cost of operation is accumulated in cost centre be it production / production service / service cost centres, while booking FI entries. Those operational cost has to be allocated to production order based on operational activities carried on and its cost involved in it. Those operation activities in CO are termed as activity types and has to link the same in KP26 with rates and cost centre (ie., sender cost centre and receiver production order). In order to find the production order cost, the allocation of cost from sender cost centre to production order for the operational activities carried on and its cost associated with it, have to be loaded, hence in CO the cost centre allocate that portion of operational cost to production order, and this cost is carried by a cost element (since there are no FI involvement and entries are flowing within CO by crediting sender cost centre and debiting receiver production order a cost element has to be created.... say "Operational Cost - Activity" the entry will be Operational Cost Activity (Production Order) Dr Rs.XX To Operational Cost Activity (Cost Centre) Cr Rs.XX The entries are with in CO. And the cost element created is secondary since it does not has an link with GL Account in FI correspondingly. In CO the production order and cost centre are co object including but not limited to. SAP Controlling FAQ CONTROLLING Controlling: Controlling provides you with information for management decisionmaking. If facilitates co-ordination, monitoring and optimization of all process in an organization.

Features of Controlling: Cost Center Accounting, Activity Based Accounting, Internal Orders, Product Costing, & Profitability Analysis. Controlling Area: Organization unit that represents a closed system Used for accounting purposes. You can assign one or more company codes to one controlling area. If you assign more than one company code to one controlling area, then you need to note the following. 1) Consistent Chart of a/c¶s (Treat each cost element in all company codes in same way). 2) The Operative fiscal year variants in the company codes must match the fiscal year variant in controlling area. 3) You should execute period end closing in controlling for all company codes at same time. 4) The system only post reconciliation posting across company codes without taxes, which means that it cannot automatically create invoice. 5) Maintain controlling area OKKP . 6) Maintain no. ranges for controlling documents - KANK 7) Maintain versions - OKEQ COST ELEMENT ACCOUNTING Cost Elements: Cost Elements Describe the origin of costs. Cost element classifies the organization valuated consumption of production factors within a controlling area. Primary Cost Elements: These arise through the consumption of productions factors that are sourced externally. Primary cost elements are used for direct posting and must be accompanied in GL a/c¶s in FI. T-code : KA02 : The categories are follows 1) General primary cost element, 03 Imputed cost element percentage method 4 - Imputed cost element, target = Actual Method, 11- Revenue elements, & 12 - sales deductions. Secondary Cost Elements: Cost elements arise through the consumption of production factor¶s that are provided internally i.e., by enterprise itself. Secondary cost elements are used strictly for internal controlling posting like assessments and settlements. Tcode - ka06

Activity Types: Categorizes productions and services activities provided by a cost center to the organization and used for allocating costs for internal activities to the originates of the costs. Creation of Allocation Cost Creating/Maintaining the Activity types - KL01 elements KA06

Statistical key figures: Are used as the basis (tracing factor) on which to make allocations (assessments & distributions) and to analyze structural key figures. Cost Component Split In FICO Can someone brief what is cost component split? What config is to be done?

In addition to standard iteration, price calculation enables you to calculate prices as a cost component split. This means that the output price of an activity type can be split into a maximum of 40 cost components. These cost components represent either: Individual cost components (such as wages, salaries, or operating supplies) or the costs of complete cost centers (such as energy or maintenance cost centers). The cost component split enables you to analyze which cost components are contained in the output prices of the activity types. You can then control cost elements, cost element groups, and also entire cost centers in cost component splits. The corresponding cost center costs and the costs of the cost centers providing the activity are channeled into this cost component split. For example, if you have assigned the salary cost element to component 1 (salaries), then the system displays the salaries (for example, for a production cost center) in this cost component. If a plant maintenance cost center provides services to the production center, then the salaries for the plant maintenance cost center are assigned to this cost component. Cost center splitting apportions activity independent costs to the activity types of the cost center. It does this by multiplying the total of the activity independent costs by the equivalence number of the activity type, and then dividing by the sum of the equivalence numbers. So if there are two activities, one with equivalence number 1 and the second activity has an eqivalence number of 2, then 1/3 of the activity independent costs will be apportioned to activity one, and 2/3 will be apportioned to activity two. Activity independent costs are always fixed, so any variable costs will need to be planned as activity dependent costs. Planned cost center splitting happens automatically when calculating the activity price. You can view what costs will be apportioned during activity price calculation by clicking on the Splitting menu item. I've ran cost splitting against one cost centre. For this cost centre I know the planned activity rate (per hour) and the planned quantity (in hours) but the target cost calculated for the activity is slightly different to the result of these two multiplied together. Is this calculation correct please? Planned act. qty in period @ planned act. rate for period = target costs

If you have only one Activity for the cost center, then you do not need to run splitting. Just run activity price calculation. Splitting is required only if you are allocating the same costs to 2 or more activities. The calculation is generally right. The other thing to check will be rounding of the time (mins/hours) and value. What is Activity Type and Statistical Key Figure Activity Types
y y

y

y

y

The activity type classifies the specific activities that are provided by one or more cost centers within a company. If a cost center provides activities for other cost centers, orders, processes, and so on, then this means that its resources are being used. The costs of these resources need to be allocated to the receivers of the activity. Activity types serve as tracing factors for this cost allocation. In an internal activity allocation, the quantity of the activity, such as the number of repair hours, is entered into the R/3 System. The system calculates the associated cost based on the activity price and generates a debit to the receiver and a credit to the sender for both the quantity and costs. Internal activity is allocated using secondary cost elements , which are stored in the master data of the activity types as default values. You can restrict the use of the activity type to certain types of cost centers by entering the allowed cost center categories in the activity type master record. You can enter up to eight allowed cost center categories, or leave the assignments "unrestricted" by entering an asterisk (*). The activity type category is used to determine whether, and how and activity type is entered and allocated. For example, you can allow some activities to be allocated directly, but specify for others that they are either not allocated, or allocated indirectly only.

To enable internal activity allocation, you need to specify which cost centers provide which activity types at what price. You do this in the R/3 System by planning the activity output/prices for a cost center. Cost center/activity output planning functions here in the same way as an additional master record. For direct activity allocation, you enter the quantity of the activity to be allocated manually. To enable both costs and activity to be allocated, the R/3 System has to valuate the activity quantity allocated at the price specified by the sender for this activity type. For a direct activity allocation, the plan price for the combination "cost center/activity type" is used for this calculation.

You can enter the planned price either manually, or have it calculated by the system automatically within planning. If you want to set the price manually, you need to set the price indicator to 3 (manual). You can use this procedure if your price calculation is not complex, for example where the prices required for your rates are determined within your organization and do not depend on internally produced activities, or where the rate depends on the prices of external suppliers and not on the costs of the cost center. Automatic calculation of plan prices is covered in course AC412. Statistical Key Figures
y

y y y y

y

y

Statistical key figures such as number of employees or length of phone calls, are statistical values that describe cost centers, profit centers, and overhead orders. They can also describe a value for a particular activity provided by a cost center, such as the number of employees who make repairs at the transport cost center (an activity-dependent statistical key figure). You can post both plan and actual statistical key figures. You can use statistical key figures as the tracing factor for periodic transactions such as distribution or assessment, and for key figure analysis. You define statistical key figures as a fixed value or as a totals value: The fixed value (such as "employees") is carried over from the period in which it is entered to all subsequent periods of the same fiscal year. You need enter a new posting only if the value changes. The fiscal year total is the average of the period totals. You post the totals value (for example "telephone calls") only to the period in which it was entered. For totals values, the fiscal year total is the total of all period values. You can transfer statistical key figures from the Logistical Information System (LIS) by assigning a key figure from the LIS to a statistical key figure in Cost Center Accounting.

Cost of Production Accounting Logic Explain the followings:

1. When we issue materials to production, following entry is happening: Raw Raw 2. When material material we receive Good consumption stock the FG from stock a/c. a/c. the Dr. Cr. production, Dr.

Finished

Cost

of

Production

Cr.

In fact, the raw material issues for production is part of Cost of Production only. Then where that is reflected in SAP. At the time of FG receipt only, Cost of Production a/c is coming into picture. By Let¶s assume you are in a Ravi scenario where std cost : = actual cost..

A. Say, RM cost is 100, labor cost is 30.. So your FG cost is 130. B. When you issue RM, Cons a/c is Dr and Inventory a/c is Cr for 100 Labor cost is debited to prod order via a secondary cost element. This does not result in a FI entry. C. Now, when you do GR, entry is FG Inventory a/c is Dr for 130 and cost of production is credit for 130 again. This cost of prod is nothing but your sum total of RM inventory cost and labor cost.... The accounting logic here is, you have consumed one inventory (Charged to P&L) and made another inventory.... When you consumed (RM), it is charged to P&L... So, now that you have made another inventory (FG), the charged made to P&L is reversed and again the inventory is Debited... The charge reversal is done using another P&L account which is Cost of Prod a/c instead of individual RM consumption a/c. The idea is to show in P&L, RM consumption separately and at the same time reduce the charge and bring back the inventory consumed in its processed form (FG)... That¶s why, RM consumption, Cost of prod a.c, COGS a/c all are mapped to the same group in Financial Statement version in FI and are reported together. Re-run Released Cost Estimate For Material

Question: I had run a cost estimate for a material and marked and released it for the current period. But the material underwent a few master data changes and I wish to perform the Cost run again with the same costing variant for the material in the same period. The system is not permitting me to do this and gives me a message "CK 171 Material xxxx in plant xxxx has a released cost estimate". How can I perform the cost run for the material in this case? What changes are required before I can execute the cost run with the same costing variant? Answer: There are how you can try to re-run the release cost estimate:

Reverse the cost estimate with CKR1.. Select "Current cost estimate", enter Plant/Mat No and execute. Re-run or Use transaction CKR1 to delete the Standard Cost created. In Control Parameters , using " Current Std Cost Estimate Tab". and execute. After that run CK40N / CK11N again and mark and release the material. Notes: 1. You can cancel the cost estimation through CKR1 and recreate cost estimation through CK11N. 2. But system won't allow you to release the cost twice in the same period through CK24. That's the standard behavior of system. 3. You need to change the price manually through MR21 (this is not recommended but it is a work around). Report Painter, How to reverse +/- signs from CK11N once reversed.

I am trying to reverse the +/- signs in my P/L statement, which I created using Report Painter. Could someone please help me out ? Regds, -----Reply Subject: Report Painter, How to reverse +/- signs Try using the Absolute value in your formula as follows: Ex: (X003 / ABS X002)) * 100, or whatever variables you need to use. I find that this usually reverses the appropriate signs. In the report, there is also formatting available that will reverse the signs. Do: In Report Writer: Change report screen, (transaction GRR2), Formatting-->Row-->reverse signs. However, this will reverse all signs in the statement. You may not want that. Try both to see what happens. Hope this helps. -----End of Message----Library for Report Painter/Writer -----Original Subject: Library for Report Painter/Writer Message----Message-----

Hi Sappers I just have one question regarding Report Writer/Painter Is it possible to create new library based on whatever table we want which is not SAP installed. For exmaple, in PCA, there is standard library 8A2 which si based on GLPCT. Is it possible to create new library based on

As consultants always say: "Do you really want to create reports on table GLPCA?". All the information is in GLPCT and in addition performance with reporting on GLPCA would probably be very bad. I wanted to get period information form PCA. And it looks like GLPCT does not give records per period (period field is 16 or other value) but only the cumulative values per period are stored in specific fields. So i thought I needed a report on GLPCA, but I use libraries based on GLPTC to get the information from GLPCA. Apparently by selecting periods (RPMAX) in reports, SAP will show all the GLPCA records for that period, but it will get it from the summary record in GLPCT. Don't ask me how, but it works. hope this helps. Regards, -----Reply Subject: RE: Library for Report Painter/Writer Message-----

You should be able to make a dd table available to Report Painter / Writer if you can create an Evaluation structure for the table. To create an Eval structure In Logistics: Tran MCS7 Create evaluation Structure. (Path: Logistics >Sales & Distribution >Sales Info System >Flexible Analysis >Evaluation Structure >Create) You could name the Eval Structure "ZFGLPCA", (must begin with "ZF"). Then click <DD table ref> ( if this is a table and not another Eval structure.) Enter the DD table "GLPCA". And click the check mark. Then click <Characteristics> and mark all the characteristic fields you want to report

on, (if you right click you can <select all>), then <copy + close> <copy>. Do the same for <Key figures> Then generate the Eval structure <back> <yes> or <Evaluation structure> <Generate> After you created the Eval structure, you can create a library with this Eval structure (table) in it. GLPCA worked for me. We are on 3.1H P47 Good Luck -----Reply Subject: RE: Library for Report Painter/Writer Message-----

The 'tables' that are available for use in Report Painter/Writer are stored in client-independent table T804A. As far as I know, there is no customizing transaction for this table (at least not in 3.1H). Please note that the "tables" defined here are not necessarily physical tables; they can also be 'logical' tables which contain several physical tables, as defined in table T804E (also client-independent). In your example, the table delivered for PCA report Library 8A2, 'GLPCT' is actually defined in table T804E to include data from physical tables GLPCT, GLPCA, and GLPCP. You actually define the Library using transaction GR21/GR22. I have never actually customized a table definition for use in Report Painter/Writer; but it can be done through tables T804A/T804E. -----End of Message----Report Painter, changing the tables assigned to libraries -----Original Subject: Report Painter, changing the tables assigned to libraries Dear Report Painter folks, Message-----

If you just created the Library and assigned an existing table to it, you can delete the Library using Report Writer, and start over. -----End of Message-----

Report Painter,Relationship between Report Groups and Reports -----Original Message----Subject: Report Painter,Relationship between Report Groups and Reports Dear Report painter gurus, What is the relationship between Report Groups and the Reports assigned to them ? My problem is that, when I leave EMPTY characteristics in one Report, I cannot Execute ALL other reports assigned to the same Report Group as the First Report (the report with the empty characteristics) So it seems that whatever mistakes I make in one report, affects ALL the other reports within the same Report Group. Can someone verify this for me ? Thanks in advance ! -----Reply Message----Subject: RE: Report Painter,Relationship between Report Groups and Reports I have found that by far the safest way to proceed is to have a one to one relation ship between a report group and a report. otherwise all sorts of strange things start to happen. Cheersy cheers

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SAP FI Functional Consultant Responsibilities What is the meaning of SAP FICO Functional and SAP FICO Technical? SAP FICO Functional means functional knowledge, by which one can proceed in terms of functional process with FICO area as well as FICO configuration knowledge. Whereas SAP FICO Technical consultant may be an ABAPER, who have short of knowledge of FICO configuration and functional knowledge as well and can proceed for technical jobs e.g. reports development, client requirement, system modification etc. To become a Pure Hard Core FI functional consultant Q: Can via T.Code FBL1N by selecting vendor with plant reference in selection using search help field group. Plant is not a field for finance or in sap it is FI module - this is for PP and MM module, In case required, please define that as FI object for FI reports - like BA and so on. Configure the plant as a BA and in all FI places you can capture BA in line items of vendors. Spent little time on going through various standard reports of SAP which are very rich in itself - for each report it has options of all fields of master data , all fields of FI document means around in my opinion around 400+ options to select. Hence we should first get an idea of fields in masters and documents and how they are updated. To become a good consultant.... Every report of SAP standard is a gem - but we always look for FAST FOOD without understanding the quality of how standard is the solutions.. Spent time in understanding - there are lot of chapters available for reading . Suggestions ... Understand the Finance function first upto closing of books and management reportings done in a practical way. Go to sap img screen - you will find all options are there... If you go reverse way , sitting inside the car and asking anyone can help me in understanding what is the wheel in front of driver used and how to use it?? All the best - take it in the right spirit for a successful future

Reasons For Archiving Financial Accounting Data What is financial archiving? Where it is used? Why? Where is it configured in IMG? There are both technical and legal reasons for archiving Financial Accounting data. Archiving: 1) Reduces storage and runtime problems caused by the constant growth of transaction data. 2) Makes master data easier to manage and to keep up to date. 3) Enables data to be accessed at a later date. You can archive data no longer required in the online system using certain standard functions. This data is then stored in archive files and deleted from the online system. For legal and commercial reasons, it is important that you are able to access archived data files online again, and the reloading function allows you to do this. Data must meet certain conditions before it can be archived. Some of these controls are already defined in the system, for instance the fact that you cannot archive documents that contain open items. Certain other controls are user-defined. Every archiving function can be accessed from archive management (SARA). To reach archive management, choose: Tools --> Administration --> Archiving or from the Accounting --> Financial Accounting --> General Ledger, Accounts Receivable, Accounts Payable or Banks menus --> Periodic processing Archiving <Archiving object> . When you access archive management from these menus, the archiving object is defaulted by the system in the field Object name. Otherwise you must enter the name of the archiving object manually.